&nbspThe CBI has registered a case against former Aircel promoter C Sivasankaran's companies, Axcel Sunshine Ltd and Finland-based Win Wind Oy, for allegedly defaulting on loans worth Rs 600 crore taken from IDBI bank, officials said today.

The agency is carrying out searches at 50 locations, including the residences of former senior IDBI bank officials.

The searches are spread across Delhi, Mumbai, Faridabad, Gandhinagar, Chennai, Bangalore, Belgaum, Hyderabad, Jaipur and Pune, the officials said.

Sivasankaran allegedly took a loan of Rs 530 crore in February 2014. This swelled to Rs 600 crore after becoming NPA, they said.

The case has been registered under sections relating to criminal conspiracy, cheating and corruption against British Virgin Islands based Axcel Sunshine Limited on allegations of perpetrating fraud through the loan accounts of Win Wind Oy, Finland and Axcel Sunshine Limited, the officials said.&nbsp

CBI said the agency is carrying out searches at 50 locations, including the residences of former senior IDBI bank officials.

&nbspThe CBI has registered a case against former Aircel promoter C Sivasankaran's companies, Axcel Sunshine Ltd and Finland-based Win Wind Oy, for allegedly defaulting on loans worth Rs 600 crore taken from IDBI bank, officials said today. The agency is carrying out searches at 50 locations, including the residences of former senior IDBI bank officials. The searches are spread across Delhi, Mumbai, Faridabad, Gandhinagar, Chennai, Bangalore, Belgaum, Hyderabad, Jaipur and Pune, the officials said. Sivasankaran allegedly took a loan of Rs 530 crore in February 2014. This swelled to Rs 600 crore after becoming NPA, they said. The case has been registered under sections relating to criminal conspiracy, cheating and corruption against British Virgin Islands based Axcel Sunshine Limited on allegations of perpetrating fraud through the loan accounts of Win Wind Oy, Finland and Axcel Sunshine Limited, the officials said.

CBI raids Aircel promoter Sivasankaran's companies in IDBI bank loan scam

Fraud-hit Punjab National Bank has invited applications for empanelment of detective agencies to locate its untraceable borrowers as it looks to "significantly" supplement efforts to recover bad loans which surged to Rs 57,519 crore at December end.&nbsp

In its efforts to recover NPAs, the PNB has also resorted to 'Gandhigiri' wherein its staff hope to 'name and shame' defaulting borrowers to recover up to Rs 150 crore worth bad loans every month.&nbsp

The Delhi-headquartered bank has been at the receiving end of the over Rs 13,000 crore fraud involving diamond merchants Nirav Modi and Mehul Choksi.&nbsp

PNB on Wednesday invited applications to empanel detective agencies with an aim to "significantly supplement efforts of the field officials in recovering bank's dues in NPA accounts by utilising services of the detective agencies", it said.&nbsp

Interested parties have been asked to file applications and relevant documents by May 5.&nbsp

All NPA accounts (sub-standard, doubtful and loss category would be allocated to detective agencies for gathering information required by the bank.&nbsp

Services of detectives will be hired to locate the borrower(s)/co-borrower(s)/guarantor(s)/ mortgagor(s), (in/outside India) including their legal heirs who are either untraceable or not available at the addresses given in bank's records.&nbsp

The selected agencies will have to ascertain the latest information about defaulters present address, occupation, business, income streams, details of their all assets, among other things.&nbsp

They will also have to find out details of bank accounts maintained by the defaulting borrower/guarantor, including their legal heirs. Agencies will be given a maximum 60 days for submission of the report, which may be extended to 90 days in emergent circumstances keeping in view complexity of the case.&nbsp

PNB, which is the country's second largest state-run lender after SBI, had gross non-performing assets (NPAs) of Rs 57,519 crore or 12.11 per cent of gross advances as of December 2017.s

The Delhi-headquartered bank has been at the receiving end of the over Rs 13,000 crore fraud involving diamond merchants Nirav Modi and Mehul Choksi.

Fraud-hit Punjab National Bank has invited applications for empanelment of detective agencies to locate its untraceable borrowers as it looks to "significantly" supplement efforts to recover bad loans which surged to Rs 57,519 crore at December end. In its efforts to recover NPAs, the PNB has also resorted to 'Gandhigiri' wherein its staff hope to 'name and shame' defaulting borrowers to recover up to Rs 150 crore worth bad loans every month. The Delhi-headquartered bank has been at the receiving end of the over Rs 13,000 crore fraud involving diamond merchants Nirav Modi and Mehul Choksi. PNB on Wednesday invited applications to empanel detective agencies with an aim to "significantly supplement efforts of the field officials in recovering bank's dues in NPA accounts by utilising services of the detective agencies", it said. Interested parties have been asked to file applications and relevant documents by May 5. All NPA accounts (sub-standard, doubtful and loss category would be allocated to detective agencies for gathering information required by the bank. Services of detectives will be hired to locate the borrower(s)/co-borrower(s)/guarantor(s)/ mortgagor(s), (in/outside India) including their legal heirs who are either untraceable or not available at the addresses given in bank's records. The selected agencies will have to ascertain the latest information about defaulters present address, occupation, business, income streams, details of their all assets, among other things. They will also have to find out details of bank accounts maintained by the defaulting borrower/guarantor, including their legal heirs. Agencies will be given a maximum 60 days for submission of the report, which may be extended to 90 days in emergent circumstances keeping in view complexity of the case. PNB, which is the country's second largest state-run lender after SBI, had gross non-performing assets (NPAs) of Rs 57,519 crore or 12.11 per cent of gross advances as of December 2017.s

Private detectives, Gandhigiri: How PNB is trying to get loaned money back

Punjab National Bank on Saturday moved Hong Kong High Court against Nirav Modi, news agency ANI reports.&nbsp;

PNB will also approach the courts of other countries where Nirav Modi and Mehul Choksi have assets and businesses, reports said.

On March 23, the government had asked authorities in Hong Kong to arrest Nirav Modi suggesting it believes the fugitive is in the Chinese territory.&nbsp;

India's Minister of State for External Affairs V K Singh told parliament last week that "the ministry has sought the provisional arrest of Nirav Deepak Modi by the government of the Hong Kong Special Administrative Region (HKSAR), the People's Republic of China."

Regarding India's request, Chinese Foreign Ministry spokesman Geng Shuang on April 9 had told a media briefing here that "according to the one country two systems and basic law of the HKSAR, under the assistance and authorisation of the central government, the HKSAR can make proper arrangement on judicial mutual assistance with other countries," he said.

"If India makes relevant request to the HKSAR, we believe the HKSAR will follow the basic law and relevant laws and under relevant judicial agreements with India with the relevant issue," he said.

Billionaire Nirav Modi, his uncle Mehul Choksi and others are being investigated by multiple probe agencies after the scam recently came to light following a complaint by the PNB that they had allegedly cheated the nationalised bank to the tune of Rs

11,400 crore, with the purported involvement of a few employees of the bank.

The ED has registered the money laundering case against Nirav Modi, his firms and others on the basis of a CBI FIR.

The CBI and the ED have registered FIRs to probe the case and intensified the crackdown on Nirav Modi and Choksi with the ED seizing jewellery and assets worth thousands of crores of rupees, the I-T department attaching various properties, and the CBI grilling several senior executives of his company.

PNB will also approach the courts of other countries where Nirav Modi and Mehul Choksi have assets and businesses, reports said.

Punjab National Bank on Saturday moved Hong Kong High Court against Nirav Modi, news agency ANI reports. PNB will also approach the courts of other countries where Nirav Modi and Mehul Choksi have assets and businesses, reports said. On March 23, the government had asked authorities in Hong Kong to arrest Nirav Modi suggesting it believes the fugitive is in the Chinese territory. India's Minister of State for External Affairs V K Singh told parliament last week that "the ministry has sought the provisional arrest of Nirav Deepak Modi by the government of the Hong Kong Special Administrative Region (HKSAR), the People's Republic of China." Regarding India's request, Chinese Foreign Ministry spokesman Geng Shuang on April 9 had told a media briefing here that "according to the one country two systems and basic law of the HKSAR, under the assistance and authorisation of the central government, the HKSAR can make proper arrangement on judicial mutual assistance with other countries," he said. "If India makes relevant request to the HKSAR, we believe the HKSAR will follow the basic law and relevant laws and under relevant judicial agreements with India with the relevant issue," he said. Billionaire Nirav Modi, his uncle Mehul Choksi and others are being investigated by multiple probe agencies after the scam recently came to light following a complaint by the PNB that they had allegedly cheated the nationalised bank to the tune of Rs 11,400 crore, with the purported involvement of a few employees of the bank. The ED has registered the money laundering case against Nirav Modi, his firms and others on the basis of a CBI FIR. The CBI and the ED have registered FIRs to probe the case and intensified the crackdown on Nirav Modi and Choksi with the ED seizing jewellery and assets worth thousands of crores of rupees, the I-T department attaching various properties, and the CBI grilling several senior executives of his company.

PNB moves Hong Kong High Court against Nirav Modi

A parliamentary panel has called &nbsp;Reserve Bank of India(RBI) governor Urjit Patel to answer questions on bank scams.

The RBI governor will face the Parliamentary Committee on Finance on May 17th.

Congress leader M Veerappa Moily today asked several questions to financial services secretary Rajiv Kumar on various bank scams.

Reports said Urjit Patel had recently said that the RBI doesn't have "adequate powers"&nbsp;to deal with public sector banks.

"We would like to know what kind of powers the RBI governor needs," a PTI &nbsp;source said, adding that regulation is an important part and that is why the Governor has been called.

Newswire PTI reported that the RBI governor will be asked questions by the Standing Committee on issues related to "all banks, including ICICI Bank".

India's Banks have been the focus of attention in the past few months after a huge scam was detected in Punjab National Bank(PNB) triggered by diamond baron Nirav Modi who subsequently left India leaving a trail of loans amounting to several thousand crores which included several state-run banks including State Bank of India, UCO&nbsp;Bank and Allahabad Bank.

The PNB scam went undetected for seven years raising questions on RBI's governance.

The RBI has since come up with several guidelines to ensure loan safety and issuance&nbsp;of LoUs&nbsp;which was the chief mechanism through which Nirav Modi defrauded PNB.

Reports said Urjit Patel had recently said that the RBI doesn't have adequate powers to deal with public sector banks.

A parliamentary panel has called Reserve Bank of India(RBI) governor Urjit Patel to answer questions on bank scams. The RBI governor will face the Parliamentary Committee on Finance on May 17th. Congress leader M Veerappa Moily today asked several questions to financial services secretary Rajiv Kumar on various bank scams. Reports said Urjit Patel had recently said that the RBI doesn't have "adequate powers" to deal with public sector banks. "We would like to know what kind of powers the RBI governor needs," a PTI source said, adding that regulation is an important part and that is why the Governor has been called. Newswire PTI reported that the RBI governor will be asked questions by the Standing Committee on issues related to "all banks, including ICICI Bank". India's Banks have been the focus of attention in the past few months after a huge scam was detected in Punjab National Bank(PNB) triggered by diamond baron Nirav Modi who subsequently left India leaving a trail of loans amounting to several thousand crores which included several state-run banks including State Bank of India, UCO Bank and Allahabad Bank. The PNB scam went undetected for seven years raising questions on RBI's governance. The RBI has since come up with several guidelines to ensure loan safety and issuance of LoUs which was the chief mechanism through which Nirav Modi defrauded PNB.

RBI governor Urjit Patel to appear before Parliamentary panel over bank scams

The worst is over for PNB and it will come out of the mess created by the Nirav Modi fraud case in six months, the state-run lender's Managing Director Sunil Mehta said Sunday.

Punjab National Bank (PNB) was hit by country's biggest ever banking fraud of more than Rs 13,000 crore perpetrated by billionaire diamantaire Nirav Modi and his associates in connivance with some officials of a branch of the bank in Mumbai.

The bank has received tremendous support from the government, other stakeholders and employees to come out of the situation, Mehta said in an interview.

"So worst is behind us. Everything now seems to be under control as surgery is over, now we are in recovery phase. We are anticipating that we will be able to come out of this entire problem and pain in the next 6 months," he said.

Emphasising the long legacy and strength of the bank, Mehta said, "it is a 123-year old institution which was founded during Swadeshi movement by Lala Lajpat Rai. This institution has 7,000 branches spread through length and breadth of the country with business of more than Rs 10 lakh crore in the domestic market. So fraud of this nature could not shake confidence of our customers during this period."

Even during trying times, the bank's business has grown better than the industry, he said, adding that credit has witnessed a growth rate of about 10 per cent, in line with the guidance that was shared with investors.

With regard to deposits, the bank has recorded a growth of 6.2 per cent, he said.

"So, we have grown in line with industry and even during difficult days it was business as usual. With all this negativity which was created in the environment, the customers' confidence was not lost and the credit goes to 70,000 employees who stood with me in difficult time.

"They have gone the extra mile, they have done extra hard work to see that every customer is attended to properly. Now, we are in the bounce back mode," he said.

"It is now clear that it was a standalone incident in one of our 7,000 branches because of connivance with some of the staff of the branch. We have learned lessons from it. Whenever a problem comes, it gives an opportunity to strengthen our existing systems and processes. We have improved every system and process with more emphasis on offline monitoring," he said.

Citing an example, Mehta said the bank is going to reform the credit processes by dividing it into four verticals -- sourcing, processing, monitoring and recovery. All these will be a separate compartment so that the risk is mitigated.

Besides, he said, the bank has launched 'Mission Parivartan' to realign all business processes to meet present day requirements.

"We decided to deploy technology. We had strengthened our back office for foreign exchange dealings, now we are going to expand it to cover 100 per cent activities in forex-related areas. We started with integrating SWIFT with the core banking solution and we will be able to complete the process before April 30," he said.

On internal audit, he said besides physical audit, there will be offline monitoring too for which the bank is creating a separate cell which will do offsite monitoring of all exceptional transaction reports.

'So worst is behind us. Everything now seems to be under control as surgery is over, now we are in recovery phase. We are anticipating that we will be able to come out of this entire problem and pain in the next 6 months' PNB Managing Director said.

The worst is over for PNB and it will come out of the mess created by the Nirav Modi fraud case in six months, the state-run lender's Managing Director Sunil Mehta said Sunday. Punjab National Bank (PNB) was hit by country's biggest ever banking fraud of more than Rs 13,000 crore perpetrated by billionaire diamantaire Nirav Modi and his associates in connivance with some officials of a branch of the bank in Mumbai. The bank has received tremendous support from the government, other stakeholders and employees to come out of the situation, Mehta said in an interview. "So worst is behind us. Everything now seems to be under control as surgery is over, now we are in recovery phase. We are anticipating that we will be able to come out of this entire problem and pain in the next 6 months," he said. Emphasising the long legacy and strength of the bank, Mehta said, "it is a 123-year old institution which was founded during Swadeshi movement by Lala Lajpat Rai. This institution has 7,000 branches spread through length and breadth of the country with business of more than Rs 10 lakh crore in the domestic market. So fraud of this nature could not shake confidence of our customers during this period." Even during trying times, the bank's business has grown better than the industry, he said, adding that credit has witnessed a growth rate of about 10 per cent, in line with the guidance that was shared with investors. With regard to deposits, the bank has recorded a growth of 6.2 per cent, he said. "So, we have grown in line with industry and even during difficult days it was business as usual. With all this negativity which was created in the environment, the customers' confidence was not lost and the credit goes to 70,000 employees who stood with me in difficult time. "They have gone the extra mile, they have done extra hard work to see that every customer is attended to properly. Now, we are in the bounce back mode," he said. "It is now clear that it was a standalone incident in one of our 7,000 branches because of connivance with some of the staff of the branch. We have learned lessons from it. Whenever a problem comes, it gives an opportunity to strengthen our existing systems and processes. We have improved every system and process with more emphasis on offline monitoring," he said. Citing an example, Mehta said the bank is going to reform the credit processes by dividing it into four verticals -- sourcing, processing, monitoring and recovery. All these will be a separate compartment so that the risk is mitigated. Besides, he said, the bank has launched 'Mission Parivartan' to realign all business processes to meet present day requirements. "We decided to deploy technology. We had strengthened our back office for foreign exchange dealings, now we are going to expand it to cover 100 per cent activities in forex-related areas. We started with integrating SWIFT with the core banking solution and we will be able to complete the process before April 30," he said. On internal audit, he said besides physical audit, there will be offline monitoring too for which the bank is creating a separate cell which will do offsite monitoring of all exceptional transaction reports.

Worst behind us, will be out of Nirav Modi mess in 6 months: PNB MD

Scam-hit Punjab National Bank(PNB) today said it will honour the controversial Letters of Undertaking(LoU) amounting to Rs 6,500 crore issued fraudulently to seven lenders in the Nirav Modi scam.

Diamond businessman Nirav Modi had connived with PNB officials to get a number of LoUs made in his favour. PNB said it will also honour all subsequent maturing LoUs and FLCs as and when they are due.

A Mumbai branch of PNB had issued as many as 1,590 LoUs fraudulently for the group of companies belonging to Nirav Modi since March 2011. The Rs 13,900 crore scam is being investigated by top officials in the Enforcement Directorate even as the kingpins Nirav Modi and Mehul Chowksi still remain out of reach having fled abroad.

"This will lead to settling of LoUs worth Rs 6,500 crore with 7 banks in relation to the recent fraud that was reported by the bank," PNB said.

The bank also informed that the first phase of SWIFT integration with CBS will become operational from the first working day of the new financial year for the bank, April 3 2018.&nbsp

The SWIFT system was repeatedly used by PNB officials involved in the scam to move money into Nirav Modi's business accounts.

"This decision of the board sends out a strong message that PNB takes its obligations seriously but does it in a manner that is compliant with the law," bank chairman Sunil Mehta said.

Meanwhile, a close associate of Nirav Modi Shyam Sunder Wadhwa was arrested by the Enforcement Directorate in a money laundering case under PMLA.

Diamond businessman Nirav Modi had connived with PNB officials to get a number of LoUs made in his favour.

Scam-hit Punjab National Bank(PNB) today said it will honour the controversial Letters of Undertaking(LoU) amounting to Rs 6,500 crore issued fraudulently to seven lenders in the Nirav Modi scam. Diamond businessman Nirav Modi had connived with PNB officials to get a number of LoUs made in his favour. PNB said it will also honour all subsequent maturing LoUs and FLCs as and when they are due. A Mumbai branch of PNB had issued as many as 1,590 LoUs fraudulently for the group of companies belonging to Nirav Modi since March 2011. The Rs 13,900 crore scam is being investigated by top officials in the Enforcement Directorate even as the kingpins Nirav Modi and Mehul Chowksi still remain out of reach having fled abroad. "This will lead to settling of LoUs worth Rs 6,500 crore with 7 banks in relation to the recent fraud that was reported by the bank," PNB said. The bank also informed that the first phase of SWIFT integration with CBS will become operational from the first working day of the new financial year for the bank, April 3 2018. The SWIFT system was repeatedly used by PNB officials involved in the scam to move money into Nirav Modi's business accounts. "This decision of the board sends out a strong message that PNB takes its obligations seriously but does it in a manner that is compliant with the law," bank chairman Sunil Mehta said. Meanwhile, a close associate of Nirav Modi Shyam Sunder Wadhwa was arrested by the Enforcement Directorate in a money laundering case under PMLA.

PNB to honour LoUs worth Rs 6,500 crore due to lenders

The&nbsp;Central Bureau of Investigation(CBI) has chargesheeted&nbsp;Canara Bank ex-CMD R K Dubey who was the executive director&nbsp;in Rs 68 crore alleged loan default by the&nbsp;company.&nbsp;

The CBI had earlier arrested Shibaji Panja and Kaustubh Roy who were the directors of RP Infosystems which allegedly defrauded 17 banks including Canara Bank.

Canara Bank had filed a case against loan frauds. The issue came up after the PNB scam in which Nirav Modi allegedly had a 70 crore exposure to RP system.

According to PTI, the CBI has filed chargesheet in the Tis Hazari Court against Dubey, the then Executive Directors (Ashok Kumar Gupta and VS Krishna Kumar), and two directors of the Occasional Silver Company Ltd (Kapil Gupta and Raj Kumar Gupta).

The CBI has alleged that Guptas knew Dubey and used the connection in getting loans.

It is alleged that the CBI had SMS messages from the CMD directing subordinate officers to favour the in disbursing the loan, PTI reported.

The loans were disbursed within three months of being sanctioned in December 2013, CBI said.

The loans became Non-Performing Assets(NPAs) in September, 2014 within few months of being disbursed, the&nbsp;CBI alleged.

The CBI had earlier arrested Shibaji Panja and Kaustubh Roy who were the directors of RP Infosystems

The Central Bureau of Investigation(CBI) has chargesheeted Canara Bank ex-CMD R K Dubey who was the executive director in Rs 68 crore alleged loan default by the company. The CBI had earlier arrested Shibaji Panja and Kaustubh Roy who were the directors of RP Infosystems which allegedly defrauded 17 banks including Canara Bank. Canara Bank had filed a case against loan frauds. The issue came up after the PNB scam in which Nirav Modi allegedly had a 70 crore exposure to RP system. According to PTI, the CBI has filed chargesheet in the Tis Hazari Court against Dubey, the then Executive Directors (Ashok Kumar Gupta and VS Krishna Kumar), and two directors of the Occasional Silver Company Ltd (Kapil Gupta and Raj Kumar Gupta). The CBI has alleged that Guptas knew Dubey and used the connection in getting loans. It is alleged that the CBI had SMS messages from the CMD directing subordinate officers to favour the in disbursing the loan, PTI reported. The loans were disbursed within three months of being sanctioned in December 2013, CBI said. The loans became Non-Performing Assets(NPAs) in September, 2014 within few months of being disbursed, the CBI alleged.

CBI files chargesheet against ex-Canara Bank CMD RK Dubey in 68 crore loan default case

Punjab National Bank(PNB) <a href="http://www.wionews.com/india-news/pnb-scam-fallout-rbi-discontinues-letters-of-undertaking-35694">has detected another </a>fraud at the&nbsp;Brady House branch in Mumbai, according to the CBI.&nbsp;The fraud was<a href="http://www.wionews.com/india-news/scams-happen-due-to-loopholes-in-the-system-bank-officers-body-33865">&nbsp;committed at</a> the same branch in Mumbai where Nirav Modi&#39;s multi-crore scam was unearthed last month.

The CBI has registered a fresh case relating to the &quot;fraudulent&quot; issuance of Rs 9 crore of LoUs to Chandri Papers and Allied Products by PNB&#39;s Brady House branch, at the centre of a storm over a similar fraud by billionaire jewellers Nirav Modi and Mehul Choksi.

Retired PNB employee Gokulnath Shetty and single-window operator at the branch, Manoj Kharat, who are facing CBI probe in the Modi-Choksi case, have been booked by the agency in the fresh FIR registered by it, the officials said.

The agency has also named the company and its directors as accused in the case, officials quoted PTI as saying.

After filing the FIR on March 9, the agency carried out searches at various locations, sources told PTI.

The CBI has alleged that Shetty retired on May 31, 2017, and Kharat entered into criminal conspiracy with directors of the company Aditya Rasiwasia and Ishwardas Agarwal.

The agency has alleged that as part of the conspiracy to defraud the public sector bank, they got issued two Letters of Undertaking (LoUs) for $1.4 million (about Rs 9.09 crore at the rate of Rs 64 per dollar) favouring SBI Antwerp, Belgium, they said.

The due date of payment for the LoUs was January 20, 2020.

The fraud is alleged to <a href="http://www.wionews.com/india-news/scams-happen-due-to-loopholes-in-the-system-bank-officers-body-33865">have been committed at</a> the same branch in Mumbai where Nirav Modi&#39;s multi-crore scam was unearthed last month.

The fraud amounts to over 9 crores($1.36 million)&nbsp;of a company named Chandri Paper and Allied Products Pvt Ltd, CBI said.

Recently, the RBI had banned commercial banks from issuing Letters of Undertaking (LoUs) and and Letters of Comfort (LoCs) for trade finance as it was seen as a major loophole behind the PNB scam.

PNB had reported the fraudulent issuance of LoUs/Foreign Letters of Credit for payment of import bills and fraudulent transactions in accounts, amounting to Rs 12,967.86 crore.

Indian authorities have been trailing Nirav Modi and Mehul Chowksi ever since the scam was detected, however, their exact whereabouts are still unknown even though the CBI has sent notices through Interpol and IT officials.

A PNB spokesman had no immediate comment.

Punjab National Bank(PNB) has detected another fraud at the Brady House branch in Mumbai, according to the CBI. The fraud was committed at the same branch in Mumbai where Nirav Modi's multi-crore scam was unearthed last month. The CBI has registered a fresh case relating to the "fraudulent" issuance of Rs 9 crore of LoUs to Chandri Papers and Allied Products by PNB's Brady House branch, at the centre of a storm over a similar fraud by billionaire jewellers Nirav Modi and Mehul Choksi. Retired PNB employee Gokulnath Shetty and single-window operator at the branch, Manoj Kharat, who are facing CBI probe in the Modi-Choksi case, have been booked by the agency in the fresh FIR registered by it, the officials said. The agency has also named the company and its directors as accused in the case, officials quoted PTI as saying. After filing the FIR on March 9, the agency carried out searches at various locations, sources told PTI. The CBI has alleged that Shetty retired on May 31, 2017, and Kharat entered into criminal conspiracy with directors of the company Aditya Rasiwasia and Ishwardas Agarwal. The agency has alleged that as part of the conspiracy to defraud the public sector bank, they got issued two Letters of Undertaking (LoUs) for $1.4 million (about Rs 9.09 crore at the rate of Rs 64 per dollar) favouring SBI Antwerp, Belgium, they said. The due date of payment for the LoUs was January 20, 2020. The fraud is alleged to have been committed at the same branch in Mumbai where Nirav Modi's multi-crore scam was unearthed last month. The fraud amounts to over 9 crores($1.36 million) of a company named Chandri Paper and Allied Products Pvt Ltd, CBI said. Recently, the RBI had banned commercial banks from issuing Letters of Undertaking (LoUs) and and Letters of Comfort (LoCs) for trade finance as it was seen as a major loophole behind the PNB scam. PNB had reported the fraudulent issuance of LoUs/Foreign Letters of Credit for payment of import bills and fraudulent transactions in accounts, amounting to Rs 12,967.86 crore. Indian authorities have been trailing Nirav Modi and Mehul Chowksi ever since the scam was detected, however, their exact whereabouts are still unknown even though the CBI has sent notices through Interpol and IT officials.

Another fraud detected in PNB worth over 9 crores in Brady House branch: CBI

The proceedings of the Lok Sabha were washed out for the third consecutive day today as parties protested on various issues, including vandalisation of statue of Dravidian icon Thanthai Periyar and PNB scam.

While the Congress continued to press for prime minister&#39;s reply on the Rs 12,700-crore bank fraud allegedly involving diamantaire Nirav Modi, members from AIADMK and AAP were in the Well, holding photos of Periyar and raising slogans condemning the vandalism in Vellore.

The TRS members raised slogans demanding a hike in Telangana&#39;s quota in reservation. While TDP continued to press for special status for Andhra Pradesh, another NDA ally Shiv Sena protested, like yesterday, demanding classical language status for Marathi.

Amid the din, Speaker Sumitra Mahajan asked Shiv Sena member Anandrao Adsul to speak on his demand. Adsul said that Marathi is an ancient language and fulfills all criteria to be given the classical language status.

He said Telugu, Kannada, Malayalam (rpt Telugu, Kannada, Malayalam) and Odia have classical language status. &quot;Several of our members have raised this issue repeatedly. We have given our submission to the minister but our demand was not fulfilled till date,&quot; Adsul said.

Home Minister Rajnath Singh, who was present in the House, assured Adsul that the matter would be looked into.

&quot;The issue does not pertain to the Home Ministry. I will speak to the Culture Ministry on this,&quot; Singh said.

Even as Shiv Sena stopped protesting on the issue, AIADMK members continued to raise slogans against the desecration of the statue of Periyar -- the founder of Dravidian movement.

&quot;We strongly condemn vandalisation of statute of Thanthai Periyar by BJP members,&quot; read the placards held by AIADMK members.

As soon as the House met for the day, members from various parties, including TDP, Shiv Sena, TRS, YSR Congress, AIADMK and TMC started raising slogans on their respective issues, following which Speaker Sumitra Mahajan adjourned the proceedings for an hour.

Most of the protesting members were in the Well before the Speaker took her chair to conduct the proceedings.

The opposition has been protesting over issues like the PNB scam since Monday when Parliament was reconvened after a month-long recess in the Budget session.

The AIADMK, which has been protesting for last two days over demands for creation of Cauvery water management board, today raised the issue of statue vandalisation.

The YSR Congress was demanding implementation of the AP Reorganisation Act.

Mahajan took up the Question Hour but adjourned the proceedings till 12 noon soon after. She was visibly upset and left the House amid the din. A Lok Sabha official had to repeat loudly that the House has been adjourned.

When the House reassembled at noon, protesting members were already in the Well and Mahajan asked Adsul to speak. After Home Minister&#39;s reply, the House was adjourned for the day.

The opposition has been protesting over issues like the PNB scam since Monday

The proceedings of the Lok Sabha were washed out for the third consecutive day today as parties protested on various issues, including vandalisation of statue of Dravidian icon Thanthai Periyar and PNB scam. While the Congress continued to press for prime minister's reply on the Rs 12,700-crore bank fraud allegedly involving diamantaire Nirav Modi, members from AIADMK and AAP were in the Well, holding photos of Periyar and raising slogans condemning the vandalism in Vellore. The TRS members raised slogans demanding a hike in Telangana's quota in reservation. While TDP continued to press for special status for Andhra Pradesh, another NDA ally Shiv Sena protested, like yesterday, demanding classical language status for Marathi. Amid the din, Speaker Sumitra Mahajan asked Shiv Sena member Anandrao Adsul to speak on his demand. Adsul said that Marathi is an ancient language and fulfills all criteria to be given the classical language status. He said Telugu, Kannada, Malayalam (rpt Telugu, Kannada, Malayalam) and Odia have classical language status. "Several of our members have raised this issue repeatedly. We have given our submission to the minister but our demand was not fulfilled till date," Adsul said. Home Minister Rajnath Singh, who was present in the House, assured Adsul that the matter would be looked into. "The issue does not pertain to the Home Ministry. I will speak to the Culture Ministry on this," Singh said. Even as Shiv Sena stopped protesting on the issue, AIADMK members continued to raise slogans against the desecration of the statue of Periyar -- the founder of Dravidian movement. "We strongly condemn vandalisation of statute of Thanthai Periyar by BJP members," read the placards held by AIADMK members. As soon as the House met for the day, members from various parties, including TDP, Shiv Sena, TRS, YSR Congress, AIADMK and TMC started raising slogans on their respective issues, following which Speaker Sumitra Mahajan adjourned the proceedings for an hour. Most of the protesting members were in the Well before the Speaker took her chair to conduct the proceedings. The opposition has been protesting over issues like the PNB scam since Monday when Parliament was reconvened after a month-long recess in the Budget session. The AIADMK, which has been protesting for last two days over demands for creation of Cauvery water management board, today raised the issue of statue vandalisation. The YSR Congress was demanding implementation of the AP Reorganisation Act. Mahajan took up the Question Hour but adjourned the proceedings till 12 noon soon after. She was visibly upset and left the House amid the din. A Lok Sabha official had to repeat loudly that the House has been adjourned. When the House reassembled at noon, protesting members were already in the Well and Mahajan asked Adsul to speak. After Home Minister's reply, the House was adjourned for the day.

Lok Sabha adjourned over PNB, Periyar statute vandalisation

The Delhi High Court today sought response of the Enforcement Directorate on a plea by Nirav Modi&#39;s firm Firestar Diamond against a money laundering case lodged by the agency in connection with the over Rs 11,000 crore Punjab National Bank (PNB) fraud case.

A bench of Justices S Muralidhar and I S Mehta issued notice to the ED on Firestar Diamond International Private Ltd&#39;s plea seeking direction to the agency to supply it several documents, including a copy of the search warrants.

The bench, however, refrained itself from staying the proceedings against the company saying we want to consider the &quot;stay part&quot; after the agency files their response.

It directed ED to place before it the sequence in which it has initiated proceedings in the matter.

&quot;The relevant records involved in the matter should be placed before the court on the next date of the hearing, March 19. The officer conversant with the present case should also remain present in the court to answer all queries,&quot; the bench said.

Advocate Vijay Aggrawal, appearing for the firm, has sought quashing of the ED action of taking away the movable property and depositing the same with the PNB bank.

He also submitted before the court that the agency be directed to supply copy of the Enforcement Case Information Report (ECIR) registered by it, pursuant to which the search and seizure was conducted by the ED in its premises.

Additional Solicitor General Sandeep Sethi and advocate Amit Mahajan, appearing for ED submitted that the firm&#39;s plea is premature and the challenge is misconceived.

Billionaire Nirav Modi, his uncle Mehul Choksi and others are being investigated by multiple probe agencies after the scam recently came to light following a complaint by the PNB that they had allegedly cheated the nationalised bank to the tune of Rs 11,400 crore, with the purported involvement of a few employees of the bank.

The ED has registered the money laundering case against Nirav Modi, his firms and others on the basis of a CBI FIR.

The CBI and the ED have registered FIRs to probe the case and intensified the crackdown on Nirav Modi and Choksi with the ED seizing jewellery and assets worth thousands of crores of rupees, the I-T department attaching various properties, and the CBI grilling several senior executives of his company.

Advocate Vijay Aggrawal, appearing for the firm, has sought quashing of the ED action of taking away the movable property and depositing the same with the PNB bank.

The Delhi High Court today sought response of the Enforcement Directorate on a plea by Nirav Modi's firm Firestar Diamond against a money laundering case lodged by the agency in connection with the over Rs 11,000 crore Punjab National Bank (PNB) fraud case. A bench of Justices S Muralidhar and I S Mehta issued notice to the ED on Firestar Diamond International Private Ltd's plea seeking direction to the agency to supply it several documents, including a copy of the search warrants. The bench, however, refrained itself from staying the proceedings against the company saying we want to consider the "stay part" after the agency files their response. It directed ED to place before it the sequence in which it has initiated proceedings in the matter. "The relevant records involved in the matter should be placed before the court on the next date of the hearing, March 19. The officer conversant with the present case should also remain present in the court to answer all queries," the bench said. Advocate Vijay Aggrawal, appearing for the firm, has sought quashing of the ED action of taking away the movable property and depositing the same with the PNB bank. He also submitted before the court that the agency be directed to supply copy of the Enforcement Case Information Report (ECIR) registered by it, pursuant to which the search and seizure was conducted by the ED in its premises. Additional Solicitor General Sandeep Sethi and advocate Amit Mahajan, appearing for ED submitted that the firm's plea is premature and the challenge is misconceived. Billionaire Nirav Modi, his uncle Mehul Choksi and others are being investigated by multiple probe agencies after the scam recently came to light following a complaint by the PNB that they had allegedly cheated the nationalised bank to the tune of Rs 11,400 crore, with the purported involvement of a few employees of the bank. The ED has registered the money laundering case against Nirav Modi, his firms and others on the basis of a CBI FIR. The CBI and the ED have registered FIRs to probe the case and intensified the crackdown on Nirav Modi and Choksi with the ED seizing jewellery and assets worth thousands of crores of rupees, the I-T department attaching various properties, and the CBI grilling several senior executives of his company.

Court seeks ED reply over plea filed by Nirav Modi's firm Firestar Diamond

The extent of the unraveling fraud at India&#39;s state-run Punjab National Bank could rise beyond the nearly $2 billion mark so far outlined by the lender, according to a source involved in the probe and court documents.

The source, who asked not to be named, said investigators had not yet recovered all the papers and loan guarantees allegedly issued by rogue employees of the bank, and consequently believed the bank&#39;s exposure could be greater than revealed so far.

In what has been dubbed as the biggest fraud in India&#39;s banking history, Punjab National Bank (PNB) and police have accused two jewelry groups - one controlled by diamond tycoon Nirav Modi and the other by his uncle Mehul Choksi - of colluding with bank employees to get credit from overseas banks using fraudulent guarantees.

Both Choksi and Modi have denied the allegations and lawyers for the two key accused PNB employees in the case have also said they are innocent.

According to court filings, the exposure to three companies controlled by Modi has been estimated at 64.98 billion rupees ($999 million), while firms controlled by Choksi have been accused of defrauding the bank of 61.38 billion rupees.

The Central Bureau of Investigation (CBI) has told a Mumbai court that the amount involving Modi&#39;s companies was likely to go up, according to the source and court filings, copies of which have been reviewed.

The CBI told the court that its investigation had found that the fraudulent issuance of letters of undertaking (LoUs), or guarantees, through a Mumbai branch of the bank had been going on since 2010.

In papers filed on Monday, the CBI also said PNB did not have all the documents related to the LoUs, since those were returned to the borrower.

&quot;Most of these documents are not yet recovered. The size of the fraud has now gone (up)...and the same is likely to go even higher,&quot; the CBI said in the court filing.

PNB did not respond to requests on Tuesday seeking comment on the risk of its exposure rising further.

The bank initially reported to authorities on January 29 that the jewelry groups had defrauded it of 2.8 billion rupees, or about $44 million. On February 14 it said the fraud sum had reached $1.77 billion after a detailed investigation.

It raised the amount further to nearly $2 billion last week, saying it had discovered some $200 million more in fraudulent letters of credit, another form of credit guarantee, issued to Choksi&#39;s Gitanjali group. 
&nbsp;

"Most of these documents are not yet recovered. The size of the fraud has now gone (up)...and the same is likely to go even higher," the CBI said in the court filing

The extent of the unraveling fraud at India's state-run Punjab National Bank could rise beyond the nearly $2 billion mark so far outlined by the lender, according to a source involved in the probe and court documents. The source, who asked not to be named, said investigators had not yet recovered all the papers and loan guarantees allegedly issued by rogue employees of the bank, and consequently believed the bank's exposure could be greater than revealed so far. In what has been dubbed as the biggest fraud in India's banking history, Punjab National Bank (PNB) and police have accused two jewelry groups - one controlled by diamond tycoon Nirav Modi and the other by his uncle Mehul Choksi - of colluding with bank employees to get credit from overseas banks using fraudulent guarantees. Both Choksi and Modi have denied the allegations and lawyers for the two key accused PNB employees in the case have also said they are innocent. According to court filings, the exposure to three companies controlled by Modi has been estimated at 64.98 billion rupees ($999 million), while firms controlled by Choksi have been accused of defrauding the bank of 61.38 billion rupees. The Central Bureau of Investigation (CBI) has told a Mumbai court that the amount involving Modi's companies was likely to go up, according to the source and court filings, copies of which have been reviewed. The CBI told the court that its investigation had found that the fraudulent issuance of letters of undertaking (LoUs), or guarantees, through a Mumbai branch of the bank had been going on since 2010. In papers filed on Monday, the CBI also said PNB did not have all the documents related to the LoUs, since those were returned to the borrower. "Most of these documents are not yet recovered. The size of the fraud has now gone (up)...and the same is likely to go even higher," the CBI said in the court filing. PNB did not respond to requests on Tuesday seeking comment on the risk of its exposure rising further. The bank initially reported to authorities on January 29 that the jewelry groups had defrauded it of 2.8 billion rupees, or about $44 million. On February 14 it said the fraud sum had reached $1.77 billion after a detailed investigation. It raised the amount further to nearly $2 billion last week, saying it had discovered some $200 million more in fraudulent letters of credit, another form of credit guarantee, issued to Choksi's Gitanjali group.

PNB bank fraud likely to swell beyond $2 billion mark

The CBI today arrested another senior executive of the Punjab National Bank and claimed to have recovered documents related to Letter of Undertaking from &#39;chawl&#39; as it continued its searches in connection with the USD 2 billion fraud.

Internal Chief Auditor (retd) Bishnubrata Mishra, who was responsible for concurrent audit for the period 2011-2015 at PNB Brady House branch, was arrested today, the agency said.

Mishra was responsible for auditing the procedures and practices followed in the PNB branch and report them.

Officials said 13 more people were questioned today in addition to the questioning of those who are in CBI custody.

They said the more searches were carried out after information surfaced during questioning of some arrested accused and others persons.

The documents were hidden in a small room of a &#39;chawl&#39; in Wadala, a central Mumbai suburb.

The premises is believed to be that of Nirav Modi (not in name of the company).

The billionaire jeweller has refused to join the probe citing his business engagements.

The CBI made the first arrest of an auditor of the bank when its internal chief auditor M K Sharma-- a chief manager-ranked official-- was picked up by the agency.

Sharma, a scale-IV officer, was responsible for auditing the systems and practices of the bank&#39;s Brady House branch--from Letters of Undertakings (LoUs) were issued-- and report the deficiencies with zonal audit office, they said.

Unfazed by Nirav Modi&#39;s reluctance to join the probe, the CBI, in a terse letter, &quot;directed&quot; him to approach the Indian mission in the country where he is residing so that immediate arrangement can be made for his travel to India, officials said.

The agency has told him that it is mandatory for an accused to join the investigation whenever they are asked to, they said.

The agency had earlier asked Modi on his official email id to join the investigation related to Rs 12,636 crore scam pertaining to the fraudulent issuance of the LoUs and Letters of Credit (LCs) from Brady House branch of PNB in Mumbai in favour of his and his uncle Mehul Choksi&#39;s companies, they said.

The quantum of the alleged fraud perpetrated in the bank by billionaire jewellers Modi and Choksi stands close to USD 2 billion after the teams of the CBI and PNB found fresh LoUs and LCs worth Rs 1,251 crore related to Choksi&#39;s Gitanjali group of companies.

The PNB had earlier put the defrauded amount at Rs 11,394.02 crore (USD 1.77 billion).

The LoU is a guarantee which is given by an issuing bank to Indian banks having branches abroad to grant a short-term credit to the applicant. In case of default, the bank issuing the LoU has to pay the liability to credit giving bank along with accruing interest.

It is alleged that LoUs and LCs worth close to USD 2 billion were issued to the companies of uncle-nephew duo of Choksi and Modi from the Brady Road branch of the bank through SWIFT (Society for Worldwide Interbank Financial Telecommunication) messages.

These messages were allegedly not entered in the banking software of the PNB to bypass surveillance.

Internal Chief Auditor, Bishnubrata Mishra, who was responsible for concurrent audit for the period 2011-2015 at PNB Brady House branch, was arrested today

The CBI today arrested another senior executive of the Punjab National Bank and claimed to have recovered documents related to Letter of Undertaking from 'chawl' as it continued its searches in connection with the USD 2 billion fraud. Internal Chief Auditor (retd) Bishnubrata Mishra, who was responsible for concurrent audit for the period 2011-2015 at PNB Brady House branch, was arrested today, the agency said. Mishra was responsible for auditing the procedures and practices followed in the PNB branch and report them. Officials said 13 more people were questioned today in addition to the questioning of those who are in CBI custody. They said the more searches were carried out after information surfaced during questioning of some arrested accused and others persons. The documents were hidden in a small room of a 'chawl' in Wadala, a central Mumbai suburb. The premises is believed to be that of Nirav Modi (not in name of the company). The billionaire jeweller has refused to join the probe citing his business engagements. The CBI made the first arrest of an auditor of the bank when its internal chief auditor M K Sharma-- a chief manager-ranked official-- was picked up by the agency. Sharma, a scale-IV officer, was responsible for auditing the systems and practices of the bank's Brady House branch--from Letters of Undertakings (LoUs) were issued-- and report the deficiencies with zonal audit office, they said. Unfazed by Nirav Modi's reluctance to join the probe, the CBI, in a terse letter, "directed" him to approach the Indian mission in the country where he is residing so that immediate arrangement can be made for his travel to India, officials said. The agency has told him that it is mandatory for an accused to join the investigation whenever they are asked to, they said. The agency had earlier asked Modi on his official email id to join the investigation related to Rs 12,636 crore scam pertaining to the fraudulent issuance of the LoUs and Letters of Credit (LCs) from Brady House branch of PNB in Mumbai in favour of his and his uncle Mehul Choksi's companies, they said. The quantum of the alleged fraud perpetrated in the bank by billionaire jewellers Modi and Choksi stands close to USD 2 billion after the teams of the CBI and PNB found fresh LoUs and LCs worth Rs 1,251 crore related to Choksi's Gitanjali group of companies. The PNB had earlier put the defrauded amount at Rs 11,394.02 crore (USD 1.77 billion). The LoU is a guarantee which is given by an issuing bank to Indian banks having branches abroad to grant a short-term credit to the applicant. In case of default, the bank issuing the LoU has to pay the liability to credit giving bank along with accruing interest. It is alleged that LoUs and LCs worth close to USD 2 billion were issued to the companies of uncle-nephew duo of Choksi and Modi from the Brady Road branch of the bank through SWIFT (Society for Worldwide Interbank Financial Telecommunication) messages. These messages were allegedly not entered in the banking software of the PNB to bypass surveillance.

PNB fraud: CBI recovers documents related to LoU from 'chawl'; arrests another executive

The Central Bureau of Investigation(CBI) today registered disproportionate assets case against former CMD of United Bank of India (UBI) Archana Bhargava.

The agency has alleged that during her tenure at various banks in senior positions between 2004 and 2014, Bhargava amassed assets worth Rs 4.89 crore and incurred an additional expenditure of Rs 1.47 crore against the income of Rs 2.73 crore.

 
In its FIR, the agency has pegged the alleged illegal assets at Rs 3.63 crore, 133.23 per cent over and above her known sources of income.

 
Bhargava became a Deputy General Manager of Punjab National Bank in 2004 and General Manager in 2008. She worked as Executive Director at Canara Bank from April 1, 20011 to April 22, 2013.

 
She joined United Bank of India on April 23, 2013 as Chairman-cum-Managing Director, a position she held till February 20, 2014.

 
The root of the present case lies in a previous corruption case registered against her in 2016 where the CBI had alleged that she obtained &quot;certain amounts&quot; for herself or for a private firm, owned by her husband and son, from the companies to which various credit facilities were extended by the banks where she had worked.

 
During the searches, the agency had recovered jewellery worth Rs 2.85 crore and Rs 10.50 lakh cash from the bank lockers in her name and those of her family members.

 
In addition, deposits of Rs 5.42 crore in her name and family members, Rs 2.26 crore in her bank accounts, documents of two properties--a three storey bungalow at Noida and a flat at Vasant Kunj, New Delhi-- and two properties in the name of her family members in Delhi and Mumbai, were found, the CBI had said after filing the corruption case in 2016.

The Central Bureau of Investigation(CBI) today registered disproportionate assets case against former CMD of United Bank of India (UBI) Archana Bhargava. The agency has alleged that during her tenure at various banks in senior positions between 2004 and 2014, Bhargava amassed assets worth Rs 4.89 crore and incurred an additional expenditure of Rs 1.47 crore against the income of Rs 2.73 crore. In its FIR, the agency has pegged the alleged illegal assets at Rs 3.63 crore, 133.23 per cent over and above her known sources of income. Bhargava became a Deputy General Manager of Punjab National Bank in 2004 and General Manager in 2008. She worked as Executive Director at Canara Bank from April 1, 20011 to April 22, 2013. She joined United Bank of India on April 23, 2013 as Chairman-cum-Managing Director, a position she held till February 20, 2014. The root of the present case lies in a previous corruption case registered against her in 2016 where the CBI had alleged that she obtained "certain amounts" for herself or for a private firm, owned by her husband and son, from the companies to which various credit facilities were extended by the banks where she had worked. During the searches, the agency had recovered jewellery worth Rs 2.85 crore and Rs 10.50 lakh cash from the bank lockers in her name and those of her family members. In addition, deposits of Rs 5.42 crore in her name and family members, Rs 2.26 crore in her bank accounts, documents of two properties--a three storey bungalow at Noida and a flat at Vasant Kunj, New Delhi-- and two properties in the name of her family members in Delhi and Mumbai, were found, the CBI had said after filing the corruption case in 2016.

CBI files disproportionate assets case against ex-CMD of United Bank of India Archana Bhargava

<a href="http://www.wionews.com/india-news/entertainment-sridevis-funeral-live-updates-final-journey-34329">Sridevi cremated with state honours as Boney Kapoor performs last rites</a>

Veteran Bollywood actress Sridevi was laid to rest today evening as husband Boney Kapoor performed last rites at Vile Parle Crematorium amid a sea of mourners who rounded up at the entrance of the venue.

<a href="http://www.wionews.com/india-news/we-have-businesses-abroad-so-i-cant-join-investigations-nirav-modi-replies-to-cbis-mail-34348">We have businesses abroad so I can&#39;t join investigations: Nirav Modi replies to CBI&#39;s mail</a>

Diamantaire Nirav Modi, who figures at the centre of the Rs 11,400 crore mega PNB scam, has finally replied to the CBI&#39;s mail saying that he is unable to join the investigations owing to business abroad. He also denied any wrongdoing.&nbsp;

<a href="http://www.wionews.com/india-news/indias-gdp-growth-rises-to-72-in-december-quarter-34349">India&#39;s GDP growth rises to 7.2% in December quarter</a>

After falling to a three-year low in the June quarter, India&#39;s GDP growth rose to 7.2 per cent in the December quarter (Q3), data from the central statistics office showed Wednesday.

<a href="http://www.wionews.com/india-news/inx-media-money-laundering-case-karti-chidambaram-taken-into-custody-by-cbi-in-chennai-34287">INX Media money-laundering case: Karti Chidambaram arrested in Chennai</a>

Congress leader and son of former finance minister P Chidambaram, Karti Chidambaram, was arrested for violating the Foreign Exchange Management Act.

<a href="http://www.wionews.com/world/china-working-age-population-shrinks-in-biggest-ever-decline-34336">China working-age population shrinks in biggest ever decline</a>

According to reports, China&#39;s working-age population is shrinking and was estimated to have fallen to its lowest since 2009 last year. The nation&#39;s working-age population was recorded below a billion for the first time since 2010, according to data released on Wednesday.

Sridevi cremated with state honours as Boney Kapoor performs last rites Veteran Bollywood actress Sridevi was laid to rest today evening as husband Boney Kapoor performed last rites at Vile Parle Crematorium amid a sea of mourners who rounded up at the entrance of the venue. We have businesses abroad so I can't join investigations: Nirav Modi replies to CBI's mail Diamantaire Nirav Modi, who figures at the centre of the Rs 11,400 crore mega PNB scam, has finally replied to the CBI's mail saying that he is unable to join the investigations owing to business abroad. He also denied any wrongdoing. India's GDP growth rises to 7.2% in December quarter After falling to a three-year low in the June quarter, India's GDP growth rose to 7.2 per cent in the December quarter (Q3), data from the central statistics office showed Wednesday. INX Media money-laundering case: Karti Chidambaram arrested in Chennai Congress leader and son of former finance minister P Chidambaram, Karti Chidambaram, was arrested for violating the Foreign Exchange Management Act. China working-age population shrinks in biggest ever decline According to reports, China's working-age population is shrinking and was estimated to have fallen to its lowest since 2009 last year. The nation's working-age population was recorded below a billion for the first time since 2010, according to data released on Wednesday.

WION news brief, February 28, 2018

After PNB reported a<a href="http://www.wionews.com/india-news/nirav-modis-firestar-diamond-files-for-bankruptcy-in-the-united-states-34236"> further scam of Rs 1,251 crores</a>, the Central Bureau of Investigation(CBI) began questioning two auditors including a former Managing Director and two General Managers in the multi-crore scam. 
&nbsp; 
The CBI today questioned<a href="http://www.wionews.com/india-news/finance-ministry-gives-state-run-banks-15-days-to-improve-oversight-34238"> NS Kannan, Executive Director, ICICI Bank</a> which was the leader of Consortium Bank who lent money to Geetanjali Group of Companies.

Former PNB CMD Usha Anant Subramanian who is currently CEO Allahabad Bank was also questioned by CBI officials.

Usha Anant Subramanian was PNB CMD from 14th August, 2015 to 5th May, 2017.

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Former PNB CMD Usha Anant Subramanian &amp; NS Kannan, Executive Director, ICIC bank were questioned by CBI (WION)
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The CBI said today it is now probing Rs 12,636 crore PNB scam, up from Rs 11,421 crore.

Meanwhile, Firestar Diamond Inc, the flagship company of billionaire Nirav Modi who is at the centre of India&#39;s biggest-ever bank scam, has filed for bankruptcy in the United States.

The company has listed assets and liabilities in the range of $50 million to $100 million, according to a court filing in the Southern District Of New York.

The CBI today questioned NS Kannan, Executive Director, ICICI Bank

After PNB reported a further scam of Rs 1,251 crores, the Central Bureau of Investigation(CBI) began questioning two auditors including a former Managing Director and two General Managers in the multi-crore scam. The CBI today questioned NS Kannan, Executive Director, ICICI Bank which was the leader of Consortium Bank who lent money to Geetanjali Group of Companies. Former PNB CMD Usha Anant Subramanian who is currently CEO Allahabad Bank was also questioned by CBI officials. Usha Anant Subramanian was PNB CMD from 14th August, 2015 to 5th May, 2017. Former PNB CMD Usha Anant Subramanian & NS Kannan, Executive Director, ICIC bank were questioned by CBI (WION) × The CBI said today it is now probing Rs 12,636 crore PNB scam, up from Rs 11,421 crore. Meanwhile, Firestar Diamond Inc, the flagship company of billionaire Nirav Modi who is at the centre of India's biggest-ever bank scam, has filed for bankruptcy in the United States. The company has listed assets and liabilities in the range of $50 million to $100 million, according to a court filing in the Southern District Of New York.

CBI questions ex-CMD of PNB, other top officials

Indian shares ended lower on Tuesday, dragged by bank stocks as uncertainties around state-run banks hit risk appetite.

Punjab National Bank uncovered more fraudulent transactions, taking its overall prospective loss to nearly $2 billion, while the finance ministry announced a 15-day deadline for PSU lenders to improve oversight.

The benchmark BSE index closed down 0.29 percent at 34,346.39. The broader NSE index ended 0.27 percent lower at 10,554.3. Both indexes fell for the first time in three sessions.

The Nifty PSU Bank index closed 3.49 percent lower, with PNB ending 12.2 percent down.

PNB uncovered more fraudulent transactions

Indian shares ended lower on Tuesday, dragged by bank stocks as uncertainties around state-run banks hit risk appetite. Punjab National Bank uncovered more fraudulent transactions, taking its overall prospective loss to nearly $2 billion, while the finance ministry announced a 15-day deadline for PSU lenders to improve oversight. The benchmark BSE index closed down 0.29 percent at 34,346.39. The broader NSE index ended 0.27 percent lower at 10,554.3. Both indexes fell for the first time in three sessions. The Nifty PSU Bank index closed 3.49 percent lower, with PNB ending 12.2 percent down.

Sensex, Nifty end lower; PNB down 12 percent

Shares of Punjab National Bank (PNB) plummeted by over 12 per cent today after it said that the alleged fraud committed by jewellers Nirav Modi and Mehul Choksi may be around $2 billion, over $204 million more than previously estimated.

The stock dropped 12.11 per cent to end at Rs 98.35 on BSE. During the day, it tumbled 14.11 per cent to Rs 96.10 -- its 52-week low.

On NSE, the stock plunged 12.18 per cent to close at Rs 98.35.

In terms of equity volume, 149.07 lakh shares of the company were traded on BSE and over 20 crore shares changed hands on NSE.

The stock has been falling for four straight sessions, down 16 per cent. In these four days, Rs 4,547.35 crore in the bank&#39;s market value has been eroded.

&quot;PNB issue continued to impact the PSU banks and its effect was seen in the broad market as well,&quot; said Vinod Nair, Head of Research, Geojit Financial Services Ltd.

In a late night filing to stock exchanges, the state-owned lender said that &quot;the quantum of reported unauthorised transactions can increase by USD 204.25 million.&quot;

The bank had earlier put the defrauded amount at Rs 11,394.02 crore (USD 1.77 billion). Adding another Rs 1,323 crore would take this to Rs 12,717 crore.&nbsp;

&nbsp;

The stock dropped 12.11 per cent to end at Rs 98.35 on BSE

Shares of Punjab National Bank (PNB) plummeted by over 12 per cent today after it said that the alleged fraud committed by jewellers Nirav Modi and Mehul Choksi may be around $2 billion, over $204 million more than previously estimated. The stock dropped 12.11 per cent to end at Rs 98.35 on BSE. During the day, it tumbled 14.11 per cent to Rs 96.10 -- its 52-week low. On NSE, the stock plunged 12.18 per cent to close at Rs 98.35. In terms of equity volume, 149.07 lakh shares of the company were traded on BSE and over 20 crore shares changed hands on NSE. The stock has been falling for four straight sessions, down 16 per cent. In these four days, Rs 4,547.35 crore in the bank's market value has been eroded. "PNB issue continued to impact the PSU banks and its effect was seen in the broad market as well," said Vinod Nair, Head of Research, Geojit Financial Services Ltd. In a late night filing to stock exchanges, the state-owned lender said that "the quantum of reported unauthorised transactions can increase by USD 204.25 million." The bank had earlier put the defrauded amount at Rs 11,394.02 crore (USD 1.77 billion). Adding another Rs 1,323 crore would take this to Rs 12,717 crore.

PNB stock tanks 12% as fraud amount raised to nearly $2 billion

Gitanjali Gems, embroiled in the Rs 11,400 crore PNB loan scam, today said Independent Director Anil Umesh Haldipur has resigned from its board citing personal reasons.

He is the second independent director to quit the company&#39;s board after the alleged fraud surfaced this month. lready, two top-level executives -- compliance officer Pankhuri Warange and Chief Financial Officer (CFO) Chandrakant Karkare -- have resigned.

In a regulatory filing, Gitanjali Gems submitted Haldipur&#39;s resignation letter dated February 14, 2018.

In the letter, Haldipur said: &quot;Last month, my wife has undergone a major spine operation at Pune. The post-operation recovery is not up to the expected level. This has resulted in restrictions on my movement. Hence travelling for board meetings at Mumbai will be very difficult for me in future.

&quot;Taking this factor into consideration I would like to step down as an independent director with immediate effect from the board and other companies,&quot; he said.

During his tenure as an independent director, Haldipur said he received some legal notices from lawyers as well as a senior civil judge in connection with the dues from the company.

&nbsp;&quot;You are aware as an independent director, I don&#39;t have a role to play in the internal working of the company and the company will take proper steps to resolve these matter,&quot; he added.

On February 14, Punjab National Bank (PNB) disclosed that it detected some fraudulent transactions with the financial implication of about Rs 11,400 crore and the matter has been referred to law enforcement agencies for recovery.

While billionaire jewellery designer Nirav Modi, the alleged perpetrator of this fraud, is not directly linked to any listed company, his relative and business associate Mehul Choksi&#39;s Gitanjali Gems is a listed firm.

In a regulatory filing, Gitanjali Gems submitted Haldipur's resignation letter dated February 14, 2018.

Gitanjali Gems, embroiled in the Rs 11,400 crore PNB loan scam, today said Independent Director Anil Umesh Haldipur has resigned from its board citing personal reasons. He is the second independent director to quit the company's board after the alleged fraud surfaced this month. lready, two top-level executives -- compliance officer Pankhuri Warange and Chief Financial Officer (CFO) Chandrakant Karkare -- have resigned. In a regulatory filing, Gitanjali Gems submitted Haldipur's resignation letter dated February 14, 2018. In the letter, Haldipur said: "Last month, my wife has undergone a major spine operation at Pune. The post-operation recovery is not up to the expected level. This has resulted in restrictions on my movement. Hence travelling for board meetings at Mumbai will be very difficult for me in future. "Taking this factor into consideration I would like to step down as an independent director with immediate effect from the board and other companies," he said. During his tenure as an independent director, Haldipur said he received some legal notices from lawyers as well as a senior civil judge in connection with the dues from the company. "You are aware as an independent director, I don't have a role to play in the internal working of the company and the company will take proper steps to resolve these matter," he added. On February 14, Punjab National Bank (PNB) disclosed that it detected some fraudulent transactions with the financial implication of about Rs 11,400 crore and the matter has been referred to law enforcement agencies for recovery. While billionaire jewellery designer Nirav Modi, the alleged perpetrator of this fraud, is not directly linked to any listed company, his relative and business associate Mehul Choksi's Gitanjali Gems is a listed firm.

PNB scam: Top independent director Anil Umesh Haldipur resigns from Gitanjali Gems board

<a href="http://www.wionews.com/india-news/entertainment-sridevis-body-on-its-way-back-to-mumbai-10-new-developments-in-the-case-34243">Sridevi&#39;s body on its way back to Mumbai: 10 new developments in the case</a>

The mortal remains of actress Sridevi have finally been handed over to actress&#39; family. The past three days have been daunting for the Kapoor family as the Dubai Police took time to investigate the case and hand over Sridevi&#39;s mortal remains to her family as they had &#39;formalities&#39; to clear.&nbsp;

<a href="http://www.wionews.com/india-news/cbi-questions-ex-cmd-of-pnb-other-top-officials-34247">CBI questions ex-CMD of PNB, other top officials</a>

After PNB reported a further scam of Rs 1,251 crores, the Central Bureau of Investigation(CBI) began questioning two auditors including a former Managing Director and two General Managers in the multi-crore scam. The CBI today questioned NS Kannan, Executive Director, ICICI Bank which was the leader of Consortium Bank who lent money to Geetanjali Group of Companies.

<a href="http://www.wionews.com/india-news/south-china-sea-will-be-discussed-during-vietnam-presidents-visit-to-india-says-vietnam-ambassador-to-india-34231">&#39;</a><a href="http://www.wionews.com/india-news/south-china-sea-will-be-discussed-during-vietnam-presidents-visit-to-india-says-vietnam-ambassador-to-india-34231">South</a><a href="http://www.wionews.com/india-news/south-china-sea-will-be-discussed-during-vietnam-presidents-visit-to-india-says-vietnam-ambassador-to-india-34231"> China Sea will be discussed during President&#39;s visit to India,&#39; says Vietnam ambassador to India</a>

Ton Sinh Thanh, Vietnam&#39;s ambassador to India, said today President Tran Dai Quang who will be visiting India next week will be discussing the South China issue with PM Modi. &quot;Vietnam is one of the few countries in South-East Asia that is raising its voice against China flexing its muscles in the South China Sea. China claims a number of territories and islands as its own over the South China Sea,&quot; Ton Sinh Thanh said.

<a href="http://www.wionews.com/india-news/excercise-milan-indias-naval-23-nation-naval-excercise-is-provocative-say-chinese-observerers-34216">Excercise Milan: India&#39;s 23-nation naval </a><a href="http://www.wionews.com/india-news/excercise-milan-indias-naval-23-nation-naval-excercise-is-provocative-say-chinese-observerers-34216">excercise</a><a href="http://www.wionews.com/india-news/excercise-milan-indias-naval-23-nation-naval-excercise-is-provocative-say-chinese-observerers-34216"> is &#39;provocative&#39;, say Chinese observers</a>

Chinese observers speaking to state-run newspaper Global Times said today that India&#39;s new Naval initiative exercise Milan consisting of 23 countries is a &quot;provocative&quot; gesture which will &quot;not benefit the development of Sino-Indian relations&quot;.

<a href="http://www.wionews.com/world/russia-working-towards-developing-long-range-unmanned-strike-system-34221">Russia working towards developing long-range unmanned strike system</a>

Russia is working on developing a long-range unmanned strike system, built by Zvezda, media reports have informed on Tuesday. Alexander Nemov, deputy chief of the research department at the 30th Central Scientific Research Institute outside Moscow said that the large unnamed aircraft would come out next year which will infiltrate far into an enemy&#39;s territory.&nbsp;

Sridevi's body on its way back to Mumbai: 10 new developments in the case The mortal remains of actress Sridevi have finally been handed over to actress' family. The past three days have been daunting for the Kapoor family as the Dubai Police took time to investigate the case and hand over Sridevi's mortal remains to her family as they had 'formalities' to clear. CBI questions ex-CMD of PNB, other top officials After PNB reported a further scam of Rs 1,251 crores, the Central Bureau of Investigation(CBI) began questioning two auditors including a former Managing Director and two General Managers in the multi-crore scam. The CBI today questioned NS Kannan, Executive Director, ICICI Bank which was the leader of Consortium Bank who lent money to Geetanjali Group of Companies. 'South China Sea will be discussed during President's visit to India,' says Vietnam ambassador to India Ton Sinh Thanh, Vietnam's ambassador to India, said today President Tran Dai Quang who will be visiting India next week will be discussing the South China issue with PM Modi. "Vietnam is one of the few countries in South-East Asia that is raising its voice against China flexing its muscles in the South China Sea. China claims a number of territories and islands as its own over the South China Sea," Ton Sinh Thanh said. Excercise Milan: India's 23-nation naval excercise is 'provocative', say Chinese observers Chinese observers speaking to state-run newspaper Global Times said today that India's new Naval initiative exercise Milan consisting of 23 countries is a "provocative" gesture which will "not benefit the development of Sino-Indian relations". Russia working towards developing long-range unmanned strike system Russia is working on developing a long-range unmanned strike system, built by Zvezda, media reports have informed on Tuesday. Alexander Nemov, deputy chief of the research department at the 30th Central Scientific Research Institute outside Moscow said that the large unnamed aircraft would come out next year which will infiltrate far into an enemy's territory.

WION news brief, February 27, 2018

A Mumbai court has allowed Enforcement Directorate&#39;s(ED) plea to issue Letters Rogatory (LRs) to six countries in connection with the Nirav Modi case.

Meanwhile, a &quot;Look out&quot; circular has been issued to more than 10 executives of firms Nirav Modi and Mehul Choksi.

On Saturday, passports of both Mehul Choksi and Nirav Modi were revoked by the ministry of external affairs (MEA) for failing to respond after cause notice was sent out.&nbsp;

PNB CMD Sunil Mehta and Executive Director KV Bramhaji Rao were questioned&nbsp;by authorities.

Earlier, Choksi, in a letter to his employees had stated that he would be unable to clear their dues in lieu of the ongoing probe in the Rs 11,300 crore scam.

PNB CMD Sunil Mehta and Executive Director KV Bramhaji Rao were questioned by authorities

A Mumbai court has allowed Enforcement Directorate's(ED) plea to issue Letters Rogatory (LRs) to six countries in connection with the Nirav Modi case. Meanwhile, a "Look out" circular has been issued to more than 10 executives of firms Nirav Modi and Mehul Choksi. On Saturday, passports of both Mehul Choksi and Nirav Modi were revoked by the ministry of external affairs (MEA) for failing to respond after cause notice was sent out. PNB CMD Sunil Mehta and Executive Director KV Bramhaji Rao were questioned by authorities. Earlier, Choksi, in a letter to his employees had stated that he would be unable to clear their dues in lieu of the ongoing probe in the Rs 11,300 crore scam.

Nirav Modi case: Mumbai court allows ED to issue letters to six countries

The Enforcement Directorate has frozen Nirav Modi&#39;s assets worth nearly Rs. 43.86 crore. The 11,400 crore Punjab National Bank (PNB) scam involves complaints of Rs 280 crore against Nirav Modi, his family members and Mehul Choksi, owner of Gitanjali Gems.

The CBI and the Enforcement Directorate have come into action after the case was registered. So far, scores of raids and searches have been carried out across the country.

The ED froze Modi&#39;s bank accounts with a total balance of Rs 30 crore on Friday. Shares worth Rs 13.86 crore held in a company of Nirav Modi have also been attached.

Close to 176 steel almirahs and 60 plastic containers containing imported watches have being seized by the ED in today&#39;s raid. Properties belonging to Nirav Modi and Mehul Choksi are under the scanner and are been raided by the ED.

On Sunday, the ED is reported to have conducted raids at 45 different locations across 15 cities, while on Saturday close to 21 locations across India were raided. The enforcement body seized diamonds, gold, precious stones and jewellery worth Rs 25 crore.

The CBI has arrested five high profile accused in the case so far -- : Vipul Ambani, president, finance, Firestar International Pvt Ltd.; Kavita Mankikar, executive assistant and authorised signatory of the three accused firms, Arjun Patil, senior executive, Firestar group; Kapil Khandelwal, CFO, Nakshatra group; and Niten Shahi, manager, Gitanjali.

Five PNB officials including a General Manager (GM) rank officer of the nationalised bank have also been sacked.&nbsp;

So far, scores of raids and searches have been carried out across the country by the ED

The Enforcement Directorate has frozen Nirav Modi's assets worth nearly Rs. 43.86 crore. The 11,400 crore Punjab National Bank (PNB) scam involves complaints of Rs 280 crore against Nirav Modi, his family members and Mehul Choksi, owner of Gitanjali Gems. The CBI and the Enforcement Directorate have come into action after the case was registered. So far, scores of raids and searches have been carried out across the country. The ED froze Modi's bank accounts with a total balance of Rs 30 crore on Friday. Shares worth Rs 13.86 crore held in a company of Nirav Modi have also been attached. Close to 176 steel almirahs and 60 plastic containers containing imported watches have being seized by the ED in today's raid. Properties belonging to Nirav Modi and Mehul Choksi are under the scanner and are been raided by the ED. On Sunday, the ED is reported to have conducted raids at 45 different locations across 15 cities, while on Saturday close to 21 locations across India were raided. The enforcement body seized diamonds, gold, precious stones and jewellery worth Rs 25 crore. The CBI has arrested five high profile accused in the case so far -- : Vipul Ambani, president, finance, Firestar International Pvt Ltd.; Kavita Mankikar, executive assistant and authorised signatory of the three accused firms, Arjun Patil, senior executive, Firestar group; Kapil Khandelwal, CFO, Nakshatra group; and Niten Shahi, manager, Gitanjali. Five PNB officials including a General Manager (GM) rank officer of the nationalised bank have also been sacked.

PNB fraud: Enforcement Directorate freezes Nirav Modi's assets worth Rs 43.86 crore

Punjab National Bank denied media reports that claimed that the bank has transferred close to <a href="http://www.wionews.com/india-news/post-scam-pnb-transfers-nearly-18000-employees-after-cvc-rap-33622" target="_blank">18,000 employees </a>due to the ongoing probe in the Rs 11,400 crore Nirav Modi scam.

In a message on its Twitter handle, PNB clarified that it had transferred a total of 1,415 employees since February 19.

&ldquo;There have been reports appearing in the media that the Bank has transferred close to 18,000 employees, the same is factually incorrect,&rdquo; the bank said in a press statement.&nbsp;

&ldquo;The bank has transferred 257 Sub Staff, 437 Clerks and 721 Officers (Total 1415 employees) since 19th February 2018, as per prevailing Rotational Transfer Policy of the Bank,&quot; the bank said.

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In a message on its Twitter handle, PNB clarified that it had transferred a total of 1,415 employees since February 19. (Others)
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&quot;The working in the branches is going on smoothly and the above transfers are in no way affecting the customer service in the Bank,&quot; it added.

Statement also claimed that these transfers have not impacted the smooth functioning of the branches

Punjab National Bank denied media reports that claimed that the bank has transferred close to 18,000 employees due to the ongoing probe in the Rs 11,400 crore Nirav Modi scam. In a message on its Twitter handle, PNB clarified that it had transferred a total of 1,415 employees since February 19. “There have been reports appearing in the media that the Bank has transferred close to 18,000 employees, the same is factually incorrect,” the bank said in a press statement. “The bank has transferred 257 Sub Staff, 437 Clerks and 721 Officers (Total 1415 employees) since 19th February 2018, as per prevailing Rotational Transfer Policy of the Bank," the bank said. In a message on its Twitter handle, PNB clarified that it had transferred a total of 1,415 employees since February 19. (Others) × "The working in the branches is going on smoothly and the above transfers are in no way affecting the customer service in the Bank," it added.

Punjab National Bank denies reports of transferring 18,000 employees

PNB officials today sent a <a href="http://www.wionews.com/india-news/post-scam-pnb-transfers-nearly-18000-employees-after-cvc-rap-33622">letter Nirav Modi accusing him</a> of illegally using bank LoUs and declared he was guilty of FEMA violation and money laundering.

&ldquo;You were getting Letter of Undertaking(<a href="http://www.wionews.com/india-news/pnb-scam-government-to-propose-change-to-swift-system-ed-seizes-nirav-modi-mehul-choksi-stocks-worth-rs-94-crore-33684">LoUs</a>)<a href="http://www.wionews.com/india-news/pnb-scam-government-to-propose-change-to-swift-system-ed-seizes-nirav-modi-mehul-choksi-stocks-worth-rs-94-crore-33684"> issued illegally and </a>in an unauthorized way through few bank officials. At no stage such facilities were extended by our bank to the three partner firms,&quot; PNB said in its letter.

PNB has accused Nirav Modi of defrauding the bank of &nbsp;Rs 11,300 crores since 2011 with the help of bank officials who have since been arrested.

&quot;When these illegal activities surfaced, they pointed out towards apparent violation of&nbsp;&nbsp;Foreign Exchange Regulation Act(FEMA) and money laundering aspect, the state bank said, adding,&quot;As required by law, the bank was compelled to bring there activities to the notice of law and enforcement agencies which the bank did.&quot;

&quot;Your commitment and undertaking for sparing of the total liability was not backed by providing upfront amounts and timelines. However, should you have any concrete and implementable plan, do revert back.&rdquo;

The Enforcement Directorate meanwhile continued to crackdown on Nirav Modi&#39;s assets in the country.&nbsp;

In addition to freezing shares and mutual funds worth Rs 94 crore belonging to Nirav Modi and Mehul Choksi, it also seized a number of luxury cars belonging to the duo.

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In what could be the biggest banking fraud in India, state-owned Punjab National Bank has said it has detected a US $1.77 billion scam and billionaire jeweller Nirav Modi is at the centre of it. (WION Web Team)
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PNB has accused Nirav Modi of defrauding the bank of Rs 11,300 crores since 2011

PNB officials today sent a letter Nirav Modi accusing him of illegally using bank LoUs and declared he was guilty of FEMA violation and money laundering. “You were getting Letter of Undertaking(LoUs) issued illegally and in an unauthorized way through few bank officials. At no stage such facilities were extended by our bank to the three partner firms," PNB said in its letter. PNB has accused Nirav Modi of defrauding the bank of Rs 11,300 crores since 2011 with the help of bank officials who have since been arrested. "When these illegal activities surfaced, they pointed out towards apparent violation of Foreign Exchange Regulation Act(FEMA) and money laundering aspect, the state bank said, adding,"As required by law, the bank was compelled to bring there activities to the notice of law and enforcement agencies which the bank did." "Your commitment and undertaking for sparing of the total liability was not backed by providing upfront amounts and timelines. However, should you have any concrete and implementable plan, do revert back.” The Enforcement Directorate meanwhile continued to crackdown on Nirav Modi's assets in the country. In addition to freezing shares and mutual funds worth Rs 94 crore belonging to Nirav Modi and Mehul Choksi, it also seized a number of luxury cars belonging to the duo. In what could be the biggest banking fraud in India, state-owned Punjab National Bank has said it has detected a US $1.77 billion scam and billionaire jeweller Nirav Modi is at the centre of it. (WION Web Team) ×

'You were getting LoUs issued illegally,' says PNB in letter to Nirav Modi

More than 18 thousand employees of Punjab National Bank have been transferred in under one week as per Central Vigilance Commission&#39;s directive.

CVC&#39;s order comes in the wake of the ongoing investigations in the Rs 11,400 crore PNB scam involving Nirav Modi, Mehul Choksi among others.

CVC&#39;s order is to be complied with by all public sector banks and calls for all banking officials, employed for at least three years, to be transferred.&nbsp;

The Commission on Monday issued an advisory to all the public sector banks ordering them to transfer the officers who have completed three years as on December 31, 2017.&nbsp;

All clerical staff who have completed five years as on December 31, 2017 &quot;should be transferred immediately&quot;.&nbsp;

&quot;As per Central Vigilance Commission guidelines, all officers should be rotated every 3 years. Further, as per Bank&#39;s Transfer Policy for Officers, no officer should be retained in the same post for a period in excess of 3 years and in the same station (municipal limits) for a period in excess of 5 years,&quot; said a BOI office memorandum.&nbsp;

Meanwhile, the CBI has already arrested five Punjab National Bank officials including Gokulnath Shetty, a former Deputy Manager and Manoj Kharat, Single Window Operator.

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Three officers at PNB&#39;s MCB Brady House branch in Mumbai, who were arrested on Monday, were yesterday sent to police custody until March 3. They are Bechhu Tiwari, Chief Manager in charge of Forex department; Yashwant Joshi, Scale II, Manager Forex department; and Praful Sawant, Scale I Officer Export.

It must be noted that Shetty, the retired deputy manager of Punjab National Bank (PNB) arrested on Saturday, figures at the centre of the scam for defrauding the public sector bank.&nbsp;

Shetty is alleged to have helped Nirav Modi and Mehul Choksi by issuing scores of letters of undertaking (LoUs).&nbsp;

PNB previously shared that close 143 LoUs were issued in 63 days, starting March 1, 2017. Around 150 LoUs were issued since 2011.&nbsp;

Shetty is known to have issued LoUs at a frantic pace for at least 6 years before he retired in May 2017 after his long tenure at PNB&#39;S Mumbai Brady House branch.&nbsp;

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Finance Minister Arun Jaitley yesterday called out to the auditors, senior banking officials, chartered accountants and supervisory agencies &quot;to introspect&quot; and identify the loopholes and shortcomings in the Indian banking sector that led to such a massive fraud.&nbsp;

The Finance Minister decried a &quot;lack of ethics&quot; among sections of Indian business on Tuesday and criticised inadequate oversight by auditors and regulators after the financial sector was rocked by the $1.8 billion fraud.

&quot;When authority is given to the management then you are expected to utilize authority effectively and in the right manner. Therefore, the question for management here is if they were found lacking, on the face of it seems they were,&quot; Jaitley noted.&nbsp;

&quot;Also what were the auditors doing? If both internal and external auditors have looked other way and failed to detect then I think CA professionals must introspect. Supervisory agencies also must introspect what are the additional mechanisms they have to put in place,&quot; he added further.&nbsp;

CVC's order comes in the wake of the ongoing investigations in the Rs 11,400 crore PNB scam

More than 18 thousand employees of Punjab National Bank have been transferred in under one week as per Central Vigilance Commission's directive. CVC's order comes in the wake of the ongoing investigations in the Rs 11,400 crore PNB scam involving Nirav Modi, Mehul Choksi among others. CVC's order is to be complied with by all public sector banks and calls for all banking officials, employed for at least three years, to be transferred. The Commission on Monday issued an advisory to all the public sector banks ordering them to transfer the officers who have completed three years as on December 31, 2017. All clerical staff who have completed five years as on December 31, 2017 "should be transferred immediately". "As per Central Vigilance Commission guidelines, all officers should be rotated every 3 years. Further, as per Bank's Transfer Policy for Officers, no officer should be retained in the same post for a period in excess of 3 years and in the same station (municipal limits) for a period in excess of 5 years," said a BOI office memorandum. Meanwhile, the CBI has already arrested five Punjab National Bank officials including Gokulnath Shetty, a former Deputy Manager and Manoj Kharat, Single Window Operator. Shetty is known to have issued LoUs at a frantic pace for at least 6 years before he retired in May 2017 after his long tenure at PNB'S Mumbai Brady House branch. × Three officers at PNB's MCB Brady House branch in Mumbai, who were arrested on Monday, were yesterday sent to police custody until March 3. They are Bechhu Tiwari, Chief Manager in charge of Forex department; Yashwant Joshi, Scale II, Manager Forex department; and Praful Sawant, Scale I Officer Export. It must be noted that Shetty, the retired deputy manager of Punjab National Bank (PNB) arrested on Saturday, figures at the centre of the scam for defrauding the public sector bank. Shetty is alleged to have helped Nirav Modi and Mehul Choksi by issuing scores of letters of undertaking (LoUs). PNB previously shared that close 143 LoUs were issued in 63 days, starting March 1, 2017. Around 150 LoUs were issued since 2011. Shetty is known to have issued LoUs at a frantic pace for at least 6 years before he retired in May 2017 after his long tenure at PNB'S Mumbai Brady House branch. Finance Minister Arun Jaitley yesterday called out to the auditors, senior banking officials, chartered accountants and supervisory agencies "to introspect" and identify the loopholes and shortcomings in the Indian banking sector that led to such a massive fraud. The Finance Minister decried a "lack of ethics" among sections of Indian business on Tuesday and criticised inadequate oversight by auditors and regulators after the financial sector was rocked by the $1.8 billion fraud. "When authority is given to the management then you are expected to utilize authority effectively and in the right manner. Therefore, the question for management here is if they were found lacking, on the face of it seems they were," Jaitley noted. "Also what were the auditors doing? If both internal and external auditors have looked other way and failed to detect then I think CA professionals must introspect. Supervisory agencies also must introspect what are the additional mechanisms they have to put in place," he added further.

Post-scam, PNB transfers nearly 18,000 employees after CVC rap

A special Mumbai CBI court has ordered Mumbai PNB officials, Bechu Tiwari, Yashwant Joshi and Praful Sawant, to Police custody till 3 March.

Three officers at PNB&#39;s MCB Brady House branch in Mumbai were arrested yesterday.

Bechhu Tiwari, Chief Manager in charge of Forex department; Yashwant Joshi, Scale II, Manager Forex department; and Praful Sawant, Scale I Officer Export are among the ones arrested. Their residential premises along with Nirav Modi&#39;s office at Peninsula Business Park, Lower Parel were searched yesterday.

Meanwhile, as many as ten PNB officials, including present Executive Director level officers, were quizzed by the CBI earlier today. Eight executives from Nirav Modi&#39;s company and ten from the Gitanjali Group were also questioned.&nbsp;

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CBI examined 10 <a href="https://twitter.com/hashtag/PNB?src=hash&amp;ref_src=twsrc%5Etfw">#PNB</a> officials, including present Executive Director level officers quizzed.8 Executives of <a href="https://twitter.com/hashtag/NiravModi?src=hash&amp;ref_src=twsrc%5Etfw">#NiravModi</a>&#39;s company and 10 <a href="https://twitter.com/hashtag/Gitanjali?src=hash&amp;ref_src=twsrc%5Etfw">#Gitanjali</a> group officials also questioned: CBI
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The Income Tax Department also searched at least twenty premises of the Gitanjali Group related to 13 companies. Searches were carried out in Mumbai, Pune, Surat, Hyderabad and Banglore. A CBI search is underway at Nirav Modi&#39;s Alibagh farm.&nbsp;

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CBI examined 10 <a href="https://twitter.com/hashtag/PNB?src=hash&amp;ref_src=twsrc%5Etfw">#PNB</a> officials, including present Executive Director level officers quizzed.8 Executives of <a href="https://twitter.com/hashtag/NiravModi?src=hash&amp;ref_src=twsrc%5Etfw">#NiravModi</a>&#39;s company and 10 <a href="https://twitter.com/hashtag/Gitanjali?src=hash&amp;ref_src=twsrc%5Etfw">#Gitanjali</a> group officials also questioned: CBI
&mdash; ANI (@ANI) <a href="https://twitter.com/ANI/status/965919551077736448?ref_src=twsrc%5Etfw">February 20, 2018</a></blockquote>
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Seven more properties of Mehul Choksi&#39;s Gitanjali Group were attached by the Income Tax department yesterday. Nine other accounts of the group were attached by the IT department on February 17.&nbsp;

Senior management officials at Gitanjali Gems called it quits yesterday as announced in a regulatory filing on Monday. The company revealed that CFO Chandrakant Karkare, company&rsquo;s vice-president (compliance) and a company secretary have resigned.&nbsp;

Punjab National Bank &quot;in view of fraudulent activities&quot; has asked Gitanjali Group companies to pay &quot;outstanding&quot; dues amounting to Rs 1,045.88 crore, the jewellery firm said in a regulatory filing.

The bank has demanded Rs 645.12 crore from Gitanjali Gems, Rs 187.52 from Gili India, Rs 110 from Nakshatra Brands, and Rs 103.24 crore from Asmi Jewellery.

Investigating agencies, including Enforcement Directorate, Central Bureau of Investigation and Income Tax Department, has launched a nationwide probe into the alleged fraud.

According to Enforcement Directorate, assets worth Rs 5716 Crore have been seized in the raids till now. 39 raids were conducted yesterday, out of which 10 were in Mumbai.&nbsp;

The Income Tax Department today searched at least twenty premises of the Gitanjali Group

A special Mumbai CBI court has ordered Mumbai PNB officials, Bechu Tiwari, Yashwant Joshi and Praful Sawant, to Police custody till 3 March. Three officers at PNB's MCB Brady House branch in Mumbai were arrested yesterday. Bechhu Tiwari, Chief Manager in charge of Forex department; Yashwant Joshi, Scale II, Manager Forex department; and Praful Sawant, Scale I Officer Export are among the ones arrested. Their residential premises along with Nirav Modi's office at Peninsula Business Park, Lower Parel were searched yesterday. Meanwhile, as many as ten PNB officials, including present Executive Director level officers, were quizzed by the CBI earlier today. Eight executives from Nirav Modi's company and ten from the Gitanjali Group were also questioned. CBI examined 10 #PNB officials, including present Executive Director level officers quizzed.8 Executives of #NiravModi's company and 10 #Gitanjali group officials also questioned: CBI — ANI (@ANI) February 20, 2018 × The Income Tax Department also searched at least twenty premises of the Gitanjali Group related to 13 companies. Searches were carried out in Mumbai, Pune, Surat, Hyderabad and Banglore. A CBI search is underway at Nirav Modi's Alibagh farm. CBI examined 10 #PNB officials, including present Executive Director level officers quizzed.8 Executives of #NiravModi's company and 10 #Gitanjali group officials also questioned: CBI — ANI (@ANI) February 20, 2018 × Seven more properties of Mehul Choksi's Gitanjali Group were attached by the Income Tax department yesterday. Nine other accounts of the group were attached by the IT department on February 17. Senior management officials at Gitanjali Gems called it quits yesterday as announced in a regulatory filing on Monday. The company revealed that CFO Chandrakant Karkare, company’s vice-president (compliance) and a company secretary have resigned. Punjab National Bank "in view of fraudulent activities" has asked Gitanjali Group companies to pay "outstanding" dues amounting to Rs 1,045.88 crore, the jewellery firm said in a regulatory filing. The bank has demanded Rs 645.12 crore from Gitanjali Gems, Rs 187.52 from Gili India, Rs 110 from Nakshatra Brands, and Rs 103.24 crore from Asmi Jewellery. Investigating agencies, including Enforcement Directorate, Central Bureau of Investigation and Income Tax Department, has launched a nationwide probe into the alleged fraud. According to Enforcement Directorate, assets worth Rs 5716 Crore have been seized in the raids till now. 39 raids were conducted yesterday, out of which 10 were in Mumbai.

PNB fraud: CBI court sends 3 accused PNB officials to police custody

A special Mumbai CBI court has ordered all four accused in the PNB scam to be sent to police custody till March 5.

The accused include Vipul Ambani President of Finance, Firestar International group. Others accused include Arjun Patil, Senior Executive, Firestar group; Kapil Khandelwal, CFO, Nakshatra group and Gitanjali group; Niten Shahi, Manager, Gitanjali group and Kavita Mankikar, Authorised Signatory of three accused firms were the ones; all of them were arrested yesterday.

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All 4 accused in <a href="https://twitter.com/hashtag/PNBFraudCase?src=hash&amp;ref_src=twsrc%5Etfw">#PNBFraudCase</a> including <a href="https://twitter.com/hashtag/VipulAmbani?src=hash&amp;ref_src=twsrc%5Etfw">#VipulAmbani</a> sent to police custody till 5th March by special CBI court in <a href="https://twitter.com/hashtag/Mumbai?src=hash&amp;ref_src=twsrc%5Etfw">#Mumbai</a>.
&mdash; ANI (@ANI) <a href="https://twitter.com/ANI/status/966282931260948480?ref_src=twsrc%5Etfw">February 21, 2018</a></blockquote>
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Besides this, three officers at PNB&#39;s MCB Brady House branch were sent to police custody yesterday until March 3. They are Bechhu Tiwari, Chief Manager in charge of Forex department; Yashwant Joshi, Scale II, Manager Forex department; and Praful Sawant, Scale I Officer Export.

The CBI had already arrested two other Punjab National Bank officials including Gokulnath Shetty, a former Deputy Manager and Manoj Kharat, Single Window Operator.

Shetty, the retired deputy manager of Punjab National Bank (PNB) arrested on Saturday, figures at the centre of the scam for defrauding the public sector bank.&nbsp;

Gokulnath Shetty is alleged to have helped Nirav Modi and Mehul Choksi by issuing scores of letters of undertaking (LoUs).&nbsp;

Three officers at PNB's MCB Brady House branch were sent to police custody yesterday until March 3

A special Mumbai CBI court has ordered all four accused in the PNB scam to be sent to police custody till March 5. The accused include Vipul Ambani President of Finance, Firestar International group. Others accused include Arjun Patil, Senior Executive, Firestar group; Kapil Khandelwal, CFO, Nakshatra group and Gitanjali group; Niten Shahi, Manager, Gitanjali group and Kavita Mankikar, Authorised Signatory of three accused firms were the ones; all of them were arrested yesterday. All 4 accused in #PNBFraudCase including #VipulAmbani sent to police custody till 5th March by special CBI court in #Mumbai. — ANI (@ANI) February 21, 2018 × Besides this, three officers at PNB's MCB Brady House branch were sent to police custody yesterday until March 3. They are Bechhu Tiwari, Chief Manager in charge of Forex department; Yashwant Joshi, Scale II, Manager Forex department; and Praful Sawant, Scale I Officer Export. The CBI had already arrested two other Punjab National Bank officials including Gokulnath Shetty, a former Deputy Manager and Manoj Kharat, Single Window Operator. Shetty, the retired deputy manager of Punjab National Bank (PNB) arrested on Saturday, figures at the centre of the scam for defrauding the public sector bank. Gokulnath Shetty is alleged to have helped Nirav Modi and Mehul Choksi by issuing scores of letters of undertaking (LoUs).

PNB scam: Vipul Ambani and 3 accused sent to police custody

<a href="http://www.wionews.com/india-news/post-scam-pnb-transfers-nearly-18000-employees-after-cvc-rap-33622">Post-scam, PNB transfers nearly 18,000 employees after CVC rap</a>

More than 18 thousand employees of Punjab National Bank have been transferred in under one week as per Central Vigilance Commission&#39;s directive. CVC&#39;s order comes in the wake of the ongoing investigations in the Rs 11,400 crore PNB scam involving Nirav Modi, Mehul Choksi among others.

<a href="http://www.wionews.com/south-asia/pakistan-to-get-its-first-ever-dalit-woman-senator-33628">Pakistan to get its first-ever Dalit woman senator</a>

Kirshna Kumari Kolhi from Thar in Pakistan&#39;s Sindh province will become the first-ever Hindu woman Senator in the Muslim-majority country, the ruling Pakistan People&#39;s Party said today. The Election Commission of Pakistan has accepted the papers of 39-year-old Kolhi who was nominated by the ruling PPP for a Senate seat on minority from Sindh Assembly. The election will take place on March 3.

<a href="http://www.wionews.com/india-news/kamal-is-a-second-kalam-posters-hit-the-streets-in-madurai-33619">Ignited Minds: &#39;Kamal is a second Kalam&#39; posters hit Madurai streets</a>

Kamal Haasan, 62, is all set to announce his political party in Madurai today. &quot;I will start my rally from Rameswaram and will announce party flag and ideology in Madurai. All are invited,&quot; the actor was quoted as saying ahead of his trip to Madurai on Tuesday. He picked Madurai as it is the cultural and political capital of the state. Hassan said that he will address the crowd in his hometown in Paramakudi in Ramanathapuram and in Sivaganga on the way.&nbsp;

<a href="http://www.wionews.com/india-news/pak-helicopter-flies-close-to-poonch-along-loc-no-firing-action-reported-33623">Pak helicopter flies close to Poonch along LoC, no firing action reported</a>

Indian Army sources said today that a Pakistan military helicopter came close to the Line of Control(LoC) and then returned. The chopper apparently flew near the Poonch area in J&amp;K which has seen several firing incidents by Pak troops across the border.

<a href="http://www.wionews.com/india-news/justin-trudeau-charms-punjab-in-most-watched-leg-of-his-india-tour-33630">Justin Trudeau charms Punjab in most-watched leg of his India tour</a>

Canada&#39;s Prime Minister Justin Trudeau struck all the right notes while visiting Punjab on Wednesday, the most-watched leg of his seven-day India tour. In a white kurta-pyjama, the visiting premier prayed at the sanctum sanctorum of the Golden Temple along with his family during an almost hour-long visit to the shrine. While monsieur wore a patka (head covering for men), madame covered her head with a chunni (head covering for women) for the visit.

Post-scam, PNB transfers nearly 18,000 employees after CVC rap More than 18 thousand employees of Punjab National Bank have been transferred in under one week as per Central Vigilance Commission's directive. CVC's order comes in the wake of the ongoing investigations in the Rs 11,400 crore PNB scam involving Nirav Modi, Mehul Choksi among others. Pakistan to get its first-ever Dalit woman senator Kirshna Kumari Kolhi from Thar in Pakistan's Sindh province will become the first-ever Hindu woman Senator in the Muslim-majority country, the ruling Pakistan People's Party said today. The Election Commission of Pakistan has accepted the papers of 39-year-old Kolhi who was nominated by the ruling PPP for a Senate seat on minority from Sindh Assembly. The election will take place on March 3. Ignited Minds: 'Kamal is a second Kalam' posters hit Madurai streets Kamal Haasan, 62, is all set to announce his political party in Madurai today. "I will start my rally from Rameswaram and will announce party flag and ideology in Madurai. All are invited," the actor was quoted as saying ahead of his trip to Madurai on Tuesday. He picked Madurai as it is the cultural and political capital of the state. Hassan said that he will address the crowd in his hometown in Paramakudi in Ramanathapuram and in Sivaganga on the way. Pak helicopter flies close to Poonch along LoC, no firing action reported Indian Army sources said today that a Pakistan military helicopter came close to the Line of Control(LoC) and then returned. The chopper apparently flew near the Poonch area in J&K which has seen several firing incidents by Pak troops across the border. Justin Trudeau charms Punjab in most-watched leg of his India tour Canada's Prime Minister Justin Trudeau struck all the right notes while visiting Punjab on Wednesday, the most-watched leg of his seven-day India tour. In a white kurta-pyjama, the visiting premier prayed at the sanctum sanctorum of the Golden Temple along with his family during an almost hour-long visit to the shrine. While monsieur wore a patka (head covering for men), madame covered her head with a chunni (head covering for women) for the visit.

WION Evening News brief, February 21, 2018

The government must get a free hand <a href="http://www.wionews.com/india-news/post-scam-pnb-transfers-nearly-18000-employees-after-cvc-rap-33622">to probe the over Rs 11,000 crore </a>PNB fraud case, allegedly involving billionaire jeweller Nirav Modi, the Supreme Court said today.

 
The top court said it would step in only when agencies fail to carry out the investigation properly.

 
The Centre, represented by Attorney General K K Venugopal, vehemently opposed a PIL, seeking an independent probe and deportation of Nirav Modi, before a bench headed by Chief Justice Dipak Misra saying &quot;the inquiry has started and the FIRs have been registered&quot;.

 
&quot;If the government does not do things that are required, then you (petitioner) can come. It is not that the government agencies are not acting,&quot; the bench, also comprising Justices A M Khanwilkar and D Y Chandrachud, said, adding that the government must have &quot;a free hand&quot; to probe the scam.

 
Lawyer Vineet Dhanda, who has filed the PIL, said that either notice be issued or a status report called from the Centre as &quot;the whole country was watching that the government had not done anything&quot; in the past in a similar case relating to Vijay Mallya.

 
&quot;Speeches have no impact on the court. We will hear the legal issue and not the emotional aspect,&quot; the bench said, adding &quot;this is not the way you argue a petition. The purpose is to gain publicity.&quot;

 
The court took serious note of the intervention by Dhanda when Venugopal was putting forth the stand of the Centre, and said &quot;I cannot say that anywhere in the world the Attorney General is stopped like this&quot;.

 
&quot;These are publicity-oriented litigations,&quot; the bench said, adding that the petitioner lawyer was &quot;playing to the gallery&quot;.

 
The bench then fixed the PIL for hearing on March 16, saying &quot;we are not saying anything today&quot;.

 
The top court also said it would hear the objections of the Attorney General to the petition on the next date.

 
The PIL has made Punjab National Bank, Reserve Bank of India and the ministries of finance and law and justice as parties. It has sought a direction for initiation of deportation proceedings against Nirav Modi and others allegedly involved in the banking fraud, preferably within two months.

 
It has asked for a special investigation team (SIT) to probe the banking fraud, allegedly involving billionaire jewellers Nirav Modi and Mehul Choksi and also sought a probe into the role of the top management of the Punjab National Bank (PNB).

 
The CBI has already registered two FIRs -- one on January 31 and another a few days ago -- against Nirav Modi, his relative Mehul Choksi of Gitanjali Gems and others for allegedly defrauding the PNB of about Rs 11,400 crore. 
The plea has sought a direction to the finance ministry to frame guidelines on the grant and disbursal of loans involving big amounts, besides ensuring safety and recovery of such loans.

 
It has also sought the setting up of an experts&#39; body to deal with cases of bad banking debts in the country. Besides, the petition seeks framing of rules for the recovery of loans from the defaulters within a stipulated period, even by attaching their properties and auctioning them in the open market.

 
In his PIL, Dhanda has asked for a direction to fasten liabilities on the employees of a bank for sanctioning loans on the basis of deficient documents and said loans should also be recovered by attaching the properties of such bank officials even after their retirement.

 
Another plea filed by Sharma on a similar issue has not come up for hearing yet.

 
Sharma, in his plea, has said the SIT should consist of retired judges of the apex court and said that the banking fraud has caused serious injury to the general public and the state&#39;s treasury. It should be investigated not by an agency &quot;being controlled by the political leaders/authorities&quot;, he has said.

 
The plea has alleged that loans were issued in the case without following RBI&#39;s financial rules and regular systems.

The top court said it would step in only when agencies fail to carry out the investigation properly.

The government must get a free hand to probe the over Rs 11,000 crore PNB fraud case, allegedly involving billionaire jeweller Nirav Modi, the Supreme Court said today. The top court said it would step in only when agencies fail to carry out the investigation properly. The Centre, represented by Attorney General K K Venugopal, vehemently opposed a PIL, seeking an independent probe and deportation of Nirav Modi, before a bench headed by Chief Justice Dipak Misra saying "the inquiry has started and the FIRs have been registered". "If the government does not do things that are required, then you (petitioner) can come. It is not that the government agencies are not acting," the bench, also comprising Justices A M Khanwilkar and D Y Chandrachud, said, adding that the government must have "a free hand" to probe the scam. Lawyer Vineet Dhanda, who has filed the PIL, said that either notice be issued or a status report called from the Centre as "the whole country was watching that the government had not done anything" in the past in a similar case relating to Vijay Mallya. "Speeches have no impact on the court. We will hear the legal issue and not the emotional aspect," the bench said, adding "this is not the way you argue a petition. The purpose is to gain publicity." The court took serious note of the intervention by Dhanda when Venugopal was putting forth the stand of the Centre, and said "I cannot say that anywhere in the world the Attorney General is stopped like this". "These are publicity-oriented litigations," the bench said, adding that the petitioner lawyer was "playing to the gallery". The bench then fixed the PIL for hearing on March 16, saying "we are not saying anything today". The top court also said it would hear the objections of the Attorney General to the petition on the next date. The PIL has made Punjab National Bank, Reserve Bank of India and the ministries of finance and law and justice as parties. It has sought a direction for initiation of deportation proceedings against Nirav Modi and others allegedly involved in the banking fraud, preferably within two months. It has asked for a special investigation team (SIT) to probe the banking fraud, allegedly involving billionaire jewellers Nirav Modi and Mehul Choksi and also sought a probe into the role of the top management of the Punjab National Bank (PNB). The CBI has already registered two FIRs -- one on January 31 and another a few days ago -- against Nirav Modi, his relative Mehul Choksi of Gitanjali Gems and others for allegedly defrauding the PNB of about Rs 11,400 crore. The plea has sought a direction to the finance ministry to frame guidelines on the grant and disbursal of loans involving big amounts, besides ensuring safety and recovery of such loans. It has also sought the setting up of an experts' body to deal with cases of bad banking debts in the country. Besides, the petition seeks framing of rules for the recovery of loans from the defaulters within a stipulated period, even by attaching their properties and auctioning them in the open market. In his PIL, Dhanda has asked for a direction to fasten liabilities on the employees of a bank for sanctioning loans on the basis of deficient documents and said loans should also be recovered by attaching the properties of such bank officials even after their retirement. Another plea filed by Sharma on a similar issue has not come up for hearing yet. Sharma, in his plea, has said the SIT should consist of retired judges of the apex court and said that the banking fraud has caused serious injury to the general public and the state's treasury. It should be investigated not by an agency "being controlled by the political leaders/authorities", he has said. The plea has alleged that loans were issued in the case without following RBI's financial rules and regular systems.

Government must get free hand to probe PNB fraud: Supreme Court

Leading international rating agency Fitch on Tuesday placed Punjab National Bank on &#39;Rating Watch Negative&#39; (RWN), reflecting a possibility of downgrade following the <a href="http://www.wionews.com/india-news/pnb-scam-7-more-properties-of-gitanjali-group-attached-3-pnb-officials-arrested-33408">US $1.77 billion fraud</a>.

The fraud - the biggest ever in the banking history - has raised questions on both internal and external risk controls as well as the quality of management supervision considering that the fraud went undetected for several years, it said.

Also Read: <a href="http://www.wionews.com/india-news/pnbs-overzealousness-shut-the-doors-on-ability-to-clear-the-dues-nirav-modi-33415">PNB&#39;s &#39;overzealousness&#39; shut door on ability to clear dues, says Nirav Modi</a>

&quot;Fitch Ratings has placed Punjab National Bank&#39;s (PNB) Viability Rating of &#39;bb&#39; on Rating Watch Negative (RWN), following the large fraud reported by PNB,&quot; the US-based agency said in a statement.

The Viability Rating measures credit worthiness of a financial institution and reflects the likelihood of the entity to fail, as per Fitch.

The RWN reflects the possibility of a downgrade of PNB&#39;s Viability Rating.

PNB last week said it has detected fraudulent transactions of US $1.77 billion (Rs 11,400 crore) in one of its branches in Mumbai.

&quot;Fitch will resolve the Rating Watch once more clarity emerges on the extent of control failures and the impact on PNB&#39;s financial position,&quot; it added.

Stating that the fraud event has been a setback for the bank in its reputation and has had a capital market impact, Fitch said it will monitor PNB&#39;s full liability, potential recoveries and the extent of additional fresh capital from both internal and external sources to determine if the bank&#39;s financial position is no longer consistent with the current viability rating.

PNB&#39;s asset quality and capital parameters continue to be weak but have shown some stability since Fitch&#39;s rating action in June 2017.

For the April-December period of 2017-18, PNB&#39;s non-performing loan (NPL) ratio eased to 12.1 per cent. Profitability continued to be weak but the bank raised Rs 5,000 crore in fresh equity from capital markets in the third quarter of FY2018.

PNB is also likely to get an additional Rs 5,400 crore from the government by end-March 2018 under the government&#39;s recapitalisation agenda.

Fitch will look to resolve the RWN once clarity emerges on the extent of control failures within PNB and how management plans to address them.

&quot;Significant control failures that attract substantial management time to rectify would be likely to weaken our view of risk appetite and management, and result in a downgrade of the viability rating,&quot; Fitch said.

The rating agency, however, said that the fraud event is unlikely to have an impact on PNB&#39;s Support Rating Floor (BBB-) due to the bank&#39;s high systemic importance as the second-largest state-owned bank.

&quot;We believe that the state&#39;s propensity to provide extraordinary support to PNB remains high, subject to the sovereign&#39;s ability, which is captured in India&#39;s sovereign rating of &#39;BBB-&#39;,&quot; it added.

Moody&#39;s places PNB under review for downgrade

&nbsp;Moody&#39;s on Tuesday placed the lender under review for downgrade.

The agency has a Baa3/P-3 rating on the Delhi-based lender now while it has a Baa3 rating on its foreign currency issuer rating. The bank overall has a Baa2 rating with a stable outlook now from Moody&#39;s.

The review for downgrade will focus on: (1) the timing and quantum of the financial impact of the fraudulent transactions, (2) any management actions taken to improve the capitalization profile of the bank, and (3) any punitive actions taken by the regulator on the bank, Moody&#39;s Investor Service said.

It has also placed the bank&#39;s baseline credit assessment (BCA) and adjusted BCA of Ba3 and the counterparty risk assessment (CRA) rating of Baa3(cr)/P-3(cr) under review for downgrade.

&quot;The primary driver for today&#39;s rating action is the risk of weakening standalone credit profile of PNB, as a result of a number of fraudulent transactions&quot; through fake letters of undertakings issued by the bank to other lenders worth USD 1.8 billion over the past many years, Moody&#39;s said.

PNB is likely to get an additional Rs 5,400 crore from the government by end-March 2018 under the government's recapitalisation agenda

Leading international rating agency Fitch on Tuesday placed Punjab National Bank on 'Rating Watch Negative' (RWN), reflecting a possibility of downgrade following the US $1.77 billion fraud. The fraud - the biggest ever in the banking history - has raised questions on both internal and external risk controls as well as the quality of management supervision considering that the fraud went undetected for several years, it said. Also Read: PNB's 'overzealousness' shut door on ability to clear dues, says Nirav Modi "Fitch Ratings has placed Punjab National Bank's (PNB) Viability Rating of 'bb' on Rating Watch Negative (RWN), following the large fraud reported by PNB," the US-based agency said in a statement. The Viability Rating measures credit worthiness of a financial institution and reflects the likelihood of the entity to fail, as per Fitch. The RWN reflects the possibility of a downgrade of PNB's Viability Rating. PNB last week said it has detected fraudulent transactions of US $1.77 billion (Rs 11,400 crore) in one of its branches in Mumbai. "Fitch will resolve the Rating Watch once more clarity emerges on the extent of control failures and the impact on PNB's financial position," it added. Stating that the fraud event has been a setback for the bank in its reputation and has had a capital market impact, Fitch said it will monitor PNB's full liability, potential recoveries and the extent of additional fresh capital from both internal and external sources to determine if the bank's financial position is no longer consistent with the current viability rating. PNB's asset quality and capital parameters continue to be weak but have shown some stability since Fitch's rating action in June 2017. For the April-December period of 2017-18, PNB's non-performing loan (NPL) ratio eased to 12.1 per cent. Profitability continued to be weak but the bank raised Rs 5,000 crore in fresh equity from capital markets in the third quarter of FY2018. PNB is also likely to get an additional Rs 5,400 crore from the government by end-March 2018 under the government's recapitalisation agenda. Fitch will look to resolve the RWN once clarity emerges on the extent of control failures within PNB and how management plans to address them. "Significant control failures that attract substantial management time to rectify would be likely to weaken our view of risk appetite and management, and result in a downgrade of the viability rating," Fitch said. The rating agency, however, said that the fraud event is unlikely to have an impact on PNB's Support Rating Floor (BBB-) due to the bank's high systemic importance as the second-largest state-owned bank. "We believe that the state's propensity to provide extraordinary support to PNB remains high, subject to the sovereign's ability, which is captured in India's sovereign rating of 'BBB-'," it added. Moody's places PNB under review for downgrade Moody's on Tuesday placed the lender under review for downgrade. The agency has a Baa3/P-3 rating on the Delhi-based lender now while it has a Baa3 rating on its foreign currency issuer rating. The bank overall has a Baa2 rating with a stable outlook now from Moody's. The review for downgrade will focus on: (1) the timing and quantum of the financial impact of the fraudulent transactions, (2) any management actions taken to improve the capitalization profile of the bank, and (3) any punitive actions taken by the regulator on the bank, Moody's Investor Service said. It has also placed the bank's baseline credit assessment (BCA) and adjusted BCA of Ba3 and the counterparty risk assessment (CRA) rating of Baa3(cr)/P-3(cr) under review for downgrade. "The primary driver for today's rating action is the risk of weakening standalone credit profile of PNB, as a result of a number of fraudulent transactions" through fake letters of undertakings issued by the bank to other lenders worth USD 1.8 billion over the past many years, Moody's said.

Fitch, Moody's place Punjab National Bank on downgrade review

As the Nirav <a href="http://www.wionews.com/india-news/pnb-fraud-cbi-sends-3-accused-pnb-officials-to-police-custody-33516">Modi-induced Punjab National Bank(PNB) scam</a> continued to take a toll on the banking system in India, the Reserve Bank of India(RBI) said it had alerted banks thrice on potential malicious use of SWIFT infrastructure since August 2016.

Society for<a href="http://www.wionews.com/india-news/photographs-of-pm-modi-with-nirav-modi-prove-nothing-amit-shah-33510"> Worldwide Interbank Financial Telecommunications</a> also called (SWIFT) are used by banks to facilitate safe transactions. The system allows banks to transact between each other especially when foreign currency is involved. It is reportedly used by over 200 countries and is a common banking tool well known for ensuring secure transaction.

However, in the PNB scam case, the SWIFT system has come under scrutiny with officials claiming it was widely misused by bankers who allegedly manipulated it to move funds in favour of Nirav Modi.

Five bank officials, including the two at the Mumbai branch, have so far been arrested. 
&nbsp; 
The alleged fraud occurred as one PNB deputy manager, with the assistance of one or more colleagues, issued over 100 fraudulent Letters of Undertaking &ndash; essentially guarantees sent to other banks so that they would provide loans to a customer.&nbsp;

After entering the transactions on the SWIFT messaging system, the official, who worked at the same branch from 2010 to 2017 despite normal bank practices of regular rotations - did not record them on PNB`s internal system, according to the bank`s complaint.

A PNB source said on Tuesday all its branches have now been asked to reconcile SWIFT messages with entries in their core banking system going back eight or nine years.&nbsp;

India&#39;s central bank said it had set up a panel under Y H Malegam to look into reasons behind incidents of frauds in banks.

The panel will also look into reasons for high divergence in NPA classification and provisioning by banks.

&nbsp;

 
<iframe allow="autoplay; encrypted-media" allowfullscreen="" frameborder="0" height="315" src="https://www.youtube.com/embed/AF6coGcVMNg" width="560"></iframe> 
&nbsp;

&nbsp;

Five bank officials, including the two at the Mumbai branch, have so far been arrested.

As the Nirav Modi-induced Punjab National Bank(PNB) scam continued to take a toll on the banking system in India, the Reserve Bank of India(RBI) said it had alerted banks thrice on potential malicious use of SWIFT infrastructure since August 2016. Society for Worldwide Interbank Financial Telecommunications also called (SWIFT) are used by banks to facilitate safe transactions. The system allows banks to transact between each other especially when foreign currency is involved. It is reportedly used by over 200 countries and is a common banking tool well known for ensuring secure transaction. However, in the PNB scam case, the SWIFT system has come under scrutiny with officials claiming it was widely misused by bankers who allegedly manipulated it to move funds in favour of Nirav Modi. Five bank officials, including the two at the Mumbai branch, have so far been arrested. The alleged fraud occurred as one PNB deputy manager, with the assistance of one or more colleagues, issued over 100 fraudulent Letters of Undertaking – essentially guarantees sent to other banks so that they would provide loans to a customer. After entering the transactions on the SWIFT messaging system, the official, who worked at the same branch from 2010 to 2017 despite normal bank practices of regular rotations - did not record them on PNB`s internal system, according to the bank`s complaint. A PNB source said on Tuesday all its branches have now been asked to reconcile SWIFT messages with entries in their core banking system going back eight or nine years. India's central bank said it had set up a panel under Y H Malegam to look into reasons behind incidents of frauds in banks. The panel will also look into reasons for high divergence in NPA classification and provisioning by banks.

Alerted banks thrice since 2016 on potential malicious use of SWIFT: RBI

Dear Sir/Madam,

1. I refer to the extended discussions between us, and between my representatives and your officers. I also refer to my emails dated 13th and 15th February 2018.

2. In view of the recent actions by you, the authorities, and the extensive press coverage in the last couple of days, I must state my position to the extent it is relevant at this stage. The media suggests that the liability of the Nirav Modi Group is over Rs. 11,000 crores. As you are aware, this is entirely incorrect and the liability of the Nirav Modi Group is substantially less. Even after your complaint was filed, in good faith I wrote to you saying please sell/ allow me to sell Firestar Group, or their valuable assets, and recover the moneys that may be found due not just from Firestar Group, but also from the three firms. The valuation of the business was approximately Rs. 6,500 crores which could have helped reduce/discharge the debt to the banking system.

3. However, the erroneous liability resulted in a media frenzy led to immediate search and seizure of operations, which has in turn resulted in FirestarInternational Private Limited and Firestar Diamond International Private Limited effectively ceasing to be going concerns. This has thereby jeopardized our ability to discharge the dues of the group to the banks.

4. In light of this, it is necessary to reinstate some facts:

I. You have acknowledged that:

(a) The Buyers Credit Facility has been extended by PNB to the three partnership firms since several years. 
(b) There has been no default on the part of any of these firms over all these years. 
(c) Moneys have gone through PNB over all these years for the repayments of the advances given by the overseas branches of banks under the Buyers Credit. 
(d) FIPL and FDIPL have been profitable, enjoyed a high (A-) credit rating, and have never been in default to any bank, and its bankers are fully secured.

II. You are aware that:

(a) PNB has over the years been earning bank charges to the tune of crores of rupees on the Buyers Credit Facility extended by PNB to the three partnership firms. 
(b) The banks that have extended the money to the firm&rsquo;s buyers have been receiving payment in full, with interest, in time all these year.

5. Yesterday, FIPL and FDIPL&rsquo;s inventory has been seized by the authorities. As per press reports the valuation of the is Rs. 5,649 crores. These, and other assets of FIPL/FDIPL and the three firms (including receivables and assets seized) could have settled all the amounts due to banks. However, now that stage appears to have passed, and there is generally panic.

6. I urge you once again to be fair, and in the interests of transparency, justice, the banking system and India as a whole, support my efforts to make good all the amounts that are found due by my group to all banks.

7. In your complaint you have wrongly named my brother, who was not at all concerned with the operations of the three firms or FIPL (India) and FDIPL (India). My wife was not connected with any business operations at all and she has been wrongly named. My uncle is also wrongly named in this complaint since he has an independent and unconnected business from mine and none of us are aware or concerned with his dealings with your bank.

8. The matter is being described as India&rsquo;s largest banking fraud. This is far from the truth. Nirav Modi Group ran a legitimate luxury brand business and the brand had become India&rsquo;s foremost global luxury brand, standing side by side with some of the biggest jewellery brands in the world. In the anxiety to recover your dues immediately, despite my offer, your actions have destroyed my brand and the business and have now restricted your ability to recover all the dues leaving a trail of unpaid debts. Whatever may be the consequences I may face for my actions, the haste was, in my humble submission, unwarranted.

9. I would request you to permit salaries for FIPL and FDIPL to be paid for the 2200 employees from the balance lying in the current accounts. Our HR head will send you a breakup of the monthly salary.

Yours Sincerely,

Nirav Modi

Beleaguered businessman Nirav Modi, the alleged kingpin of the largest banking scam in the country's history, has said PNB's "overzealousness" shut the doors on his ability to clear the dues.

Dear Sir/Madam, 1. I refer to the extended discussions between us, and between my representatives and your officers. I also refer to my emails dated 13th and 15th February 2018. 2. In view of the recent actions by you, the authorities, and the extensive press coverage in the last couple of days, I must state my position to the extent it is relevant at this stage. The media suggests that the liability of the Nirav Modi Group is over Rs. 11,000 crores. As you are aware, this is entirely incorrect and the liability of the Nirav Modi Group is substantially less. Even after your complaint was filed, in good faith I wrote to you saying please sell/ allow me to sell Firestar Group, or their valuable assets, and recover the moneys that may be found due not just from Firestar Group, but also from the three firms. The valuation of the business was approximately Rs. 6,500 crores which could have helped reduce/discharge the debt to the banking system. 3. However, the erroneous liability resulted in a media frenzy led to immediate search and seizure of operations, which has in turn resulted in FirestarInternational Private Limited and Firestar Diamond International Private Limited effectively ceasing to be going concerns. This has thereby jeopardized our ability to discharge the dues of the group to the banks. 4. In light of this, it is necessary to reinstate some facts: I. You have acknowledged that: (a) The Buyers Credit Facility has been extended by PNB to the three partnership firms since several years. (b) There has been no default on the part of any of these firms over all these years. (c) Moneys have gone through PNB over all these years for the repayments of the advances given by the overseas branches of banks under the Buyers Credit. (d) FIPL and FDIPL have been profitable, enjoyed a high (A-) credit rating, and have never been in default to any bank, and its bankers are fully secured. II. You are aware that: (a) PNB has over the years been earning bank charges to the tune of crores of rupees on the Buyers Credit Facility extended by PNB to the three partnership firms. (b) The banks that have extended the money to the firm’s buyers have been receiving payment in full, with interest, in time all these year. 5. Yesterday, FIPL and FDIPL’s inventory has been seized by the authorities. As per press reports the valuation of the is Rs. 5,649 crores. These, and other assets of FIPL/FDIPL and the three firms (including receivables and assets seized) could have settled all the amounts due to banks. However, now that stage appears to have passed, and there is generally panic. 6. I urge you once again to be fair, and in the interests of transparency, justice, the banking system and India as a whole, support my efforts to make good all the amounts that are found due by my group to all banks. 7. In your complaint you have wrongly named my brother, who was not at all concerned with the operations of the three firms or FIPL (India) and FDIPL (India). My wife was not connected with any business operations at all and she has been wrongly named. My uncle is also wrongly named in this complaint since he has an independent and unconnected business from mine and none of us are aware or concerned with his dealings with your bank. 8. The matter is being described as India’s largest banking fraud. This is far from the truth. Nirav Modi Group ran a legitimate luxury brand business and the brand had become India’s foremost global luxury brand, standing side by side with some of the biggest jewellery brands in the world. In the anxiety to recover your dues immediately, despite my offer, your actions have destroyed my brand and the business and have now restricted your ability to recover all the dues leaving a trail of unpaid debts. Whatever may be the consequences I may face for my actions, the haste was, in my humble submission, unwarranted. 9. I would request you to permit salaries for FIPL and FDIPL to be paid for the 2200 employees from the balance lying in the current accounts. Our HR head will send you a breakup of the monthly salary. Yours Sincerely, Nirav Modi

'You destroyed my brand': Read full text of Nirav Modi's letter to PNB

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